Los Angeles Criminal Defense Attorney Blog

Published on: February 14, 2011

Los Angeles Medical Fraud News Alert: Eight Nurses Going to Jail for Defrauding Medicare

When you picture Southern California medical, dental, or chiropractic fraud arrests, you might envision a surly doctor conspiring with a criminal cohort to develop sophisticated white collar crime techniques.

You might not imagine that eight nurses (between the ages of 32 and 55) would be capable of pulling off a scam that bilked Medicare out of nearly $19 million.

But that’s exactly what the Department of Justice has alleged against eight RNs in Miami. The owners of two health care agencies, Florida Home Health Care Providers Inc. and ABC Home Health Inc., allegedly charged Medicare for unnecessary services (or services that never got provided) to the tune of $18.7 million. Last Tuesday, the eight nurse-owners – Diana Sanabia, Daisy Santos, Roberto Rodriguez, Marlene Magadan, Maria Perez, Alberto Alvarez, Yanisley Chao, and Leonardo Malagon — got sentenced to prison time as well as forced restitution (upwards of $700,000) for their roles in the Medicare scam.

Published on: February 7, 2011

Pasadena DUI Experts Explore Vehicular Manslaughter Case in Santa Ana

by Michael Kraut

Last Friday, 53-year-old Jeffrey David Kirby of Costa Mesa was sentenced for felony vehicular manslaughter while driving under the influence in Southern California. In March 2009, Kirby lost control of his 2004 Ferrari and smashed into Charles David Lewis, a famous mixed martial arts entrepreneur and founder of the closing line TapouT.

Lewis had been driving so fast that his sports car ripped in half upon smashing into a light pole.

Although most arrests for DUI in Burbank, DUI in Pasadena, Glendale DUI and Los Angeles DUI are far less “drama filled” and headline grabbing, Kirby’s actions both before, during, and after the crash read like he showed persistently poor judgment.

First of all, consider the fact that Kirby had a DUI conviction back in 2002. After getting that conviction, Kirby was given a warning called the Watson Advisement — this is a formal way of reminding you that driving under the influence can be lethal. If, after receiving this advisement, you then go out and commit a DUI injury or kill someone while DUI, your penalties can be ratcheted up significantly. You could even face a Pasadena DUI murder charge in extreme cases.

Second, consider that Kirby fled the accident scene after he rammed into Lewis. Leaving the scene of an accident is a crime in and of itself – a so-called “hit and run” – and it could be charged and punished separately.

Finally, according to prosecutors, Kirby had a blood alcohol concentration (BAC) over twice the Southern California legal limit of 0.08% a full two hours after the accident. In certain cases, if you have an extremely high BAC level, prosecutors can ask for additional charges, such as bigger fines and longer time in jail.

In Kirby’s case, he escaped a DUI murder charge, but he did get convicted under the California Vehicle Manslaughter Law and got a nine-year prison sentence for the DUI death.

In a typical Pasadena DUI vehicular manslaughter, prosecutors will check out police reports and reports from other agencies to figure out how to charge the defendant.

A qualified Los Angeles criminal defense attorney who has experience in homicide cases can probe the accident by interviewing experts, reconstructing the scene of the accident, reviewing toxicology reports and poring over relevant documents or witness statements to help you build a creditable and powerful defense.

Connect with Pasadena DUI defense attorney Michael Kraut for an immediate and free consultation. The Pasadena branch of the Kraut Law Group Criminal & DUI Lawyers, Inc. is located at 790 East Colorado Boulevard, 9th floor, Pasadena, California 91101 Phone: (626) 345-1899. Not only does Attorney Kraut have a spectacular record at jury trials and a wealth of experience as a former prosecutor (14+ years working for the city prosecuting DUI cases) which he leverages to help his defense clients, but he also understands applicable law both in theory and practice. He has delivered best results for clients even in complicated and highly technical cases.
he defendant.

A qualified Los Angeles criminal defense attorney who has experience in homicide cases can probe the accident by interviewing experts, reconstructing the scene of the accident, reviewing toxicology reports and poring over relevant documents or witness statements to help you build a creditable and powerful defense.

Connect with Pasadena DUI defense attorney Michael Kraut for an immediate and free consultation. The Pasadena branch of the Kraut Law Group Criminal & DUI Lawyers, Inc. is located at 790 East Colorado Boulevard, 9th floor, Pasadena, California 91101 Phone: (626) 345-1899. Not only does Attorney Kraut have a spectacular record at jury trials and a wealth of experience as a former prosecutor (14+ years working for the city prosecuting DUI cases) which he leverages to help his defense clients, but he also understands applicable law both in theory and practice. He has delivered best results for clients even in complicated and highly technical cases.

Published on: January 31, 2011

Los Angeles Healthcare Fraud Case among 2010’s Biggest Busts, According to CNN

by Michael Kraut

Last Monday, a federal government report announced that over $2.5 billion in Southern California Medicare fraud (and fraud elsewhere) was recovered in 2010. The 84 page report from the Justice and Health & Human Services found that the government’s anti-fraud programs appear to be working well – returning $5 for every dollar spent to combat fraud. Defendants have included hospitals, physicians, manufacturers of medical devices, and pharmaceutical companies.

A CNN report singled out the fraud case of a Tustin, California CFO as “one of the most blatant cases” last year. The CFO pled guilty in April 2010 to charges of recruiting homeless people to engage in unnecessary services in exchange for kickbacks. He was one of 726 different defendants convicted for crimes like Los Angeles healthcare fraud and insurance fraud.

2011 may be an even more vigorous year for anti-fraud activists. The Justice and Health and Human Services report says that over 1,100 new fraud probes will be launched in 2011. 1,700 criminal investigations are pending. And the universe of potential defendants may expand to 2,000+ people. Since the late 1990s, the government has collected approximately $18 billion from individuals and institutions that have committed fraud against Medicare and other healthcare programs.

Published on: January 24, 2011

Beverly Hills DUI Update: Ex-Senator Minority Leader Sentenced in Utah for his DUI

by Michael Kraut

Last week, ex-senator Sheldon Killpack, a Republican from Syracuse, Utah, pled guilty to a DUI charge, prompting political observers and Los Angeles DUI analysts alike to debate how the politician should try to rehabilitate his reputation.

The effects of getting arrested for driving under the influence in Los Angeles, DUI in Glendale, Pasadena DUI, or Burbank DUI can devastate not only in the short-term but also over the long-term. If you do business in a community, for instance, and news of your DUI arrest gets around, you may lose customers; a conviction can anchor your financial dreams for years to come.

The 42-year old Killpack didn’t receive an overly harsh sentence. Judge Shauna Graves-Robertson at Salt Lake City’s Third District Court sentenced Killpack to 48 hours of community service, a 16 hour DUI course, and a fine of $1,350. But the stain of his guilty plea will likely profoundly influence his future political and business prospects.

According to wire reports, the Utah Highway Patrol pulled the senator over on January 15th last year, after Killpack’s truck swerved out of its lane. The senator refused the breathalyzer test and failed field sobriety tests. At Salt Lake City Metro Jail, he took blood tests, which showed him to have a BAC of 0.11% — 0.03% higher than the Southern California legal limit of 0.08%. Killpack resigned his majority leadership position in the senate the day after his arrest.

Beverly Hills DUI field sobriety tests are probably remarkably similar to the ones that Killpack took:

An officer will assess your mental and physical state using a variety of examinations. The horizontal gaze nystagmus test will examine how well your eyes follow a moving object, such as a flashlight. If your pupils do not respond normally, this could indicate a DUI. Likewise, you will face coordination tests such as “finger to the nose,” “Rhomberg,” “one leg stand” and “walk the line” as well as tests like “recite the alphabet backwards” or “count backwards.”

An officer will additionally examine you for “symptoms” of DUI, such as bloodshot eyes, sluggishness answering questions, awkwardness, and easy loss of balance.

Just because you fail your FSTs, however, does not mean that all hope is lost. A tested Los Angeles criminal defense attorney can make an enormous difference to your short and long-term outcomes. The Kraut Law Group Criminal & DUI Lawyers, Inc. – with offices at 9107 Wilshire Boulevard, Suite 450, Beverly Hills, California 90210 310-550-6935 – may be able to provide excellent, immediate help.

Lead attorney Mr. Michael Kraut is a Harvard Law School educated lawyer with excellent industry referrals, a reputation for diligence and results, and lots of experience as a former prosecutor, which he can put to use to help develop your case.

Published on: January 17, 2011

Southern California Medicare Fraud News Alert — Another Multimillion Dollar Bust Barely Makes a Blip on the News Radar: Why?

by Michael Kraut

Many colorful stories of Los Angeles medical, dental, and chiropractic fraud have hit the news over the past year or so. The public may simply be too exhausted to pay attention to them anymore.

This claim sounds absurd at first. After all, you’d think that stories about high crime involving multi-millions of dollars would enrage citizens or at least stir debate – especially during this prolonged economic malaise. But the shocking reality is that many fascinating stories of Southern California insurance fraud, medical fraud and credit card fraud are simply flying under most people’s radars.

To wit, consider a crazy case out of Gary, Indiana that you no doubt missed:

Published on: January 10, 2011

Pasadena DUI Newsflash: Look Out for 18-Year Olds Plowing into Parked Cars. Yikes!

by Michael Kraut

Whether you are a pedestrian or motorist, you regularly fear encountering someone driving under the influence in Pasadena. Those fears may get ratcheted up when you read the tale of 17-year old Robert Leigh, an Isla Vista resident who crashed into an unbelievable 8 (that’s “eight” as in 1-2-3-4-5-6-7-8!) parked cars on the morning of January 6th up in Santa Barbara.

Before we delve into this amazing story, we should note that anyone who has recently been pulled over for driving under the influence in Pasadena, DUI in Burbank, DUI in Glendale, or driving under the influence in Los Angeles should avail themselves of critical legal counsel as soon as possible.

Okay, having said that, let’s examine the Leigh crash in more detail. According to California Highway Patrol reports, the teenager had been driving his 2009 Toyota Tacoma on El Colegio Road at 3 a. m., when he drifted into the cars like something out of a pinball game. Here is a quote from a local Santa Barbara paper about it:

“He reportedly drifted to the right, striking one parked car, continued on El Colegio and hit four parked vehicles, then negotiated through the Camino Corto intersection. He allegedly struck three more vehicles before he was stopped by a UC police officer.”

Once the CHP arrived at the scene of the multiple accidents, Leigh was booked for DUI and taken to Santa Barbara County jail. Fortunately – and probably this is because the accidents occurred at 3 a. m – no injuries were reported.

No one expects to be involved in a pinball-like Pasadena DUI car accident – especially one with injuries. For good reason, too. California Vehicle Code Sections 23153(a) and 23153(b) will essentially take a typical misdemeanor Los Angeles DUI charge and shoot it up to a felony charge. The difference between a misdemeanor and felony is enormous. It could mean extra years in jail, for instance. It could also mean thousands of dollars more in fines, extremely strict probation terms, longer alcohol school time, and permanent long-term problems for you. For instance, convicted felons often find it extremely difficult to get work and to lease a car or an apartment. You will also be forever prohibited from voting in national elections. Furthermore, you may have to pay hiked up insurance costs and restitution to any victims that you hurt.

The silver lining – if there is any – is that charge of Pasadena DUI with injury is a difficult one for prosecutors to prove. Prosecutors can’t simply say that you hurt someone while DUI; thus, therefore you should be convicted. After all, perhaps you had been driving normally (i.e., not committing any traffic infractions) when a pedestrian darted in front of you. Yes, you hit the pedestrian. But it was his fault! So even that you were DUI and did hurt somebody, in this situation, prosecutors would be hard pressed to make the DUI with injury charge stick.

The general point here is that the laws abounds with nuances and subtleties. Thus, it’s in your best interest to find someone who has lots of experience with Pasadena DUI law — such as Pasadena criminal defense attorney Michael Kraut. Connect with the Kraut Law Group Criminal & DUI Lawyers, Inc. at 790 East Colorado Boulevard, 9th Floor, Pasadena, California 91101 (626-345-1899). Here are some reasons why Attorney Kraut stands head and shoulders above the competition:

• He is Harvard Law School educated
• He is a former prosecutor with 14 plus years as a Deputy DA for the city
• He has a huge success rate at jury trials
• He has maintained numerous excellent relationships with local prosecutors and judges
• He is often called in as an expert on local and national media to talk about DUI matters
• He offers a compassionate and proven process to help his clients.

Published on: January 3, 2011

Los Angeles Medical Fraud News Alert: Doctor Sentenced for Having a Receptionist Pose as MD

by Michael Kraut

The annals of Southern California medical, dental and chiropractic fraud are replete with pretty crazy stories. But a breaking story out of Columbus, Ohio may have even the most tawdry recent Los Angeles white collar crime stories beat. An Ohio area doctor, Charles Njoku, has been sentenced for manipulating his receptionist into posing as a doctor to treat patients and bilk Medicare and Medicaid.

Judge Algenon L. Marbley sentenced Dr. Njoku in District Court to a year of home confinement, three-years of probation, and 416 hours of community service. He must also pay over $130,000 in restitution to Medicare and Medicaid programs. Dr. Njoku — whose medical license has not yet been suspended, according to the Columbus Dispatch — should be counting as blessings. The judge could have sentenced him to three decades behind bars and a fine of $1.5 million for his crimes.

His receptionist and co-conspirator, Veronica Scott-Guiler, was also arrested for medical fraud back in January. Scott-Guiler also pled guilty and received a similar sentence. She, too, could have been hit with much harsher penalties – including up to 15 years behind bars. Although the judge did let the Nigerian-born Njoku off relatively easily, he had harsh words for the defendant: “You should be ashamed… you don’t have the excuse [of a poor upbringing] that many of the defendants who come before me have…the good deeds [you] have done are eviscerated by the nefarious deeds committed.”

Published on: December 27, 2010

Southern California Medicare Fraud Alert: Miami-based Medicare Scam Explodes — Tens of Millions of Dollars Allegedly Stolen

by Michael Kraut

Although Southern California healthcare fraud is an enormous and perennial problem – witness the massive Armenian Mafia Medicare scam story that broke in October 2010 – the city of Miami, Florida remains the “national epicenter for Medicare fraud,” according to a story in the AP from five days ago.

The latest big breaking Medicare scam involves the drug Arformoterol, an emphysema and bronchitis drug. The Department of Health and Human Services reports that, over a year-and-a-half long period, Miami-Dade County healthcare providers paid out $34 million for drugs that should have only cost about $3.7 million. Medicare paid for 7 million units but only received 750,000 units. The fraud, which totaled more than $30 million, sounds like a big deal. But $30 million is peanuts compared with the total Medicare fraud committed annually in Miami – “roughly $3 billion,” according to the AP.

The arformoterol overbilling scheme is just one of dozens of similar scams recently perpetrated by technically savvy crooks. According to the AP, “The spike in arformoterol only came after authorities tried to crack down on another inhaler drug… as authorities have caught onto one scam, crooks have moved on to another, such as by shifting from durable medical equipment and HIV drug scams to physical therapy and home healthcare fraud.”

Published on: December 20, 2010

Glendale DUI News Shocks Local Firefighters; Story of South Dakota Firefighter Driving Truck While DUI Elicits Condemnation from Local Responders

by Michael Kraut

Everyone and his mother knows not to drive a fire truck while DUI in Glendale. But a South Dakota volunteer firefighter, Scott Johnson, was pulled over on Labor Day weekend for driving his fire truck while under the influence. Last week, a local jury in Madison, SD, found the 43 year old guilty after deliberating for only 45 minutes. Those who’ve recently come under suspicion for DUI in Glendale, driving under the influence in Burbank, Los Angeles DUI, or DUI in Pasadena can learn a lot from the story of Johnson’s arrest and punishment.

According to local reports, Johnson had been drinking at a local bar while working as a bouncer. After the bar closed, Johnson returned home. He then received a distress call at around 2.30 a.m. He hopped in his truck and drove out to see what happened. It was a false alarm. But a police officer who had seen him drinking at the bar earlier saw him driving his truck. He grew concerned because he had seen Johnson consume so much alcohol. So he followed the volunteer back to the station and subjected him to field sobriety tests and a blood test. Johnson’s BAC level registered 0.098%, above the Southern California (and South Dakota) legal limit of 0.08%. Pursuant to his conviction for DUI last Tuesday, Johnson may face a year behind bars or a fine of $2000. He is scheduled to be sentenced on the 3rd of January.

Individuals like Johnson who are suspected of DUI in Burbank will be asked to take chemical tests like the breathalyzer. This test, also known as a PAS test, will be administered by an officer through a handheld device. Ostensibly, the breathalyzer notes how much alcohol is concentrated in the breath and uses that number to extrapolate a suspect’s blood alcohol concentration. According to California Vehicle Code Section 23152(b), if you drive a motor vehicle with a BAC of greater than 0.08% in Glendale, you can be arrested and charged with DUI.

The problem is that flaws abound with Glendale breathalyzer tests:

• The courts have only recently allowed PAS test results to be used as evidence because of the many potential flaws and complications.
• The PAS test does not distinguish between a woman and a man – and research shows that men and women process alcohol very differently.
• A machine can yield a “false positive,” even if you haven’t been drinking ethanol, if you’ve been exposed to other chemicals that the device is sensitive to.
• The amount of food you ate before having alcohol, whether or not you are diabetic, whether or not the machine was properly calibrated, administered and interpreted, and so on can all influence the validity of the PAS test results.

All that being said, challenging a positive breathalyzer test is both an art and a science. An experienced Glendale DUI defense attorney, like Michael Kraut, can help you understand how to battle back against your Los Angeles DUI charge to either get the charges dismissed or to plea bargain them down to more reduced and palatable penalties.

Connect with the Harvard Law School educated Kraut for help with your Glendale DUI at 818-507-9123, or set an appointment to stop in at the local office: 121 W Lexington Dr, Glendale, CA 91203.

Published on: December 13, 2010

Massive Los Angeles Healthcare Fraud (and Elsewhere) Settlement Makes Taxpayers Livid

by Michael Kraut

The Wall Street Journal, Washington Post, Bloomberg News and other major media services are reporting on an enormous Los Angeles medical fraud (and elsewhere) settlement involving three pharmaceutical firms: Abbott Laboratories, B. Braun Medical of Bethlehem, Pennsylvania, and Roxane Laboratories of Columbus, Ohio. All told, the $420+ million settlement stemmed from a whistleblower charge pursuant to the False Claims Act.

Essentially, the drug companies overinflated their benchmark pricing to government insurers. In other words, they gave pharmacies and doctors a discounted price, and then they inflated how much the drugs cost and passed that difference onto the taxpayers. This illegal inflation became so well known that the benchmark — called the Average Wholesale Price (AWP) — soon became known among everyone in the industry as “ain’t what’s paid.” A spokesman for the Justice Department put it bluntly: “The only persons who paid the inflated, reported drug price were you, the American taxpayers.”

Cases of medical, dental, and chiropractic fraud, insurance fraud, credit card fraud, and other Southern California white collar crimes are significant and troubling. But the typical local cases pale in comparison with the national Medicare and Medicaid schemes unraveled by the Justice Department recently. Here is a quick recap of a few jaw dropping settlements: