A Florida physician was sentenced to two years in prison for a scheme to defraud Medicare and a financial services company that offered loans to patients for out-of-pocket medical expenses.
Mark Zager, MD, conspired with a now-deceased chiropractor who owned Hialeah, Fla.-based Dynamic Medical Services, according to a March 24 Justice Department news release.
Dr. Zager opened a merchant account in his own name and allowed the chiropractor to use the account in exchange for paying kickbacks and bribes, according to the release. The chiropractor allegedly applied for loans on patients' behalf for services that would be rendered months in the future but were never performed.
From November 2019-July 2020, the pair submitted more than $193,000 in false and fraudulent loan applications to a financial company, resulting in the company paying out $165,000, according to the release.
Dr. Zager also allowed the chiropractor to submit claims to Medicare through the physician's National Provider Number in exchange for kickbacks and bribes, according to the release. Between December 2019 and July 2020, they submitted $19,000 in false and fraudulent claims to Medicare.
Dr. Zager pleaded guilty to charges in June 2021, according to the Justice Department. The chiropractor was also charged with several federal crimes but died in July 2020. The charges against him were dismissed following his death and he remains presumed innocent.