2015News

Melgen indicted on multiple fraud charges

A prominent ophthalmologist from the Dominican Republic, 61-year old Salomon Melgen, appeared before a Federal Court in West Palm Beach, Florida yesterday, Wednesday, 15 April 2015. He faces 76 charges of Medicare fraud following an FBI investigation that led to him being accused of receiving US$105 million in fraudulent claims.

According to the indictment, Dr. Melgen ran a fraud scheme from 2004 to 2013, in which he billed Medicare for more than US$190 million and was paid more than $105 million. In 2012 alone, health officials say, he billed Medicare US$21 million. In its coverage of the case, The New York Times reports that this was “more than any other doctor in the nation”.

The indictment says that Dr. Melgen falsely diagnosed serious eye conditions such as macular degeneration and retinal disorders in many patients, and went on to perform unnecessary and costly procedures such as laser surgery and eye injections for which he would bill Medicare. If convicted on all charges, Melgen could face more than 500 years in prison.

This case is taken on a larger dimension because of Melgen’s high profile friendship with New Jersey Senator Bob Menendez who was recently indicted on corruption charges. Melgen has already been accused of funneling gifts to the senator.

Menendez himself has been indicted on corruption charges related to Melgen. As a result the senator announced he would temporarily step down from his post as the top Democrat on the Senate Foreign Relations Committee. In the Senate Menendez was known to clash with the Obama administration over its nuclear negotiations with Iran and its policy to open diplomatic relations with Cuba.

Here’s How the Fall of Democratic Sen. Bob Menendez Could Shape Debate on Iran, Cuba