South Florida brothers admit to targeting Medicare beneficiaries in a $67 million scam

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Two brothers have joined five other South Florida residents in admitting to being part of a $67 million scam that targeted Medicare recipients to enrich themselves with federal funds.

The guilty pleas came after four days of trial in the Southern District of Florida.

Federal investigators say Daniel M. Carver, 36, of Boca Raton, owned and managed call centers that he used to conduct “deceptive telemarketing campaigns,” soliciting Medicare beneficiaries for medically unnecessary genetic tests and medical equipment. Meanwhile, agents say Louis “Gino” Carver, 32, of Delray Beach, worked for call centers, acting as a straw owner of a laboratory that submitted false genetic testing claims.

The tests use DNA sequencing to detect mutations in genes that could indicate a higher risk of developing certain types of cancer and cardiovascular diseases.

Between January 2020 and July 2021, agents say the Carvers and their co-conspirators:

  • Paid kickbacks and bribes to telemedicine companies in exchange for completed doctors’ orders.

  • Sold doctors’ orders to laboratories and medical equipment companies in exchange for kickbacks.

  • Forged doctors’ and patients’ signatures.

  • Tricked medical providers into ordering medically unnecessary genetic testing.

The scheme, investigators say, resulted in the submission of over $67 million in false claims to Medicare.

In addition to last week’s guilty pleas, five other Florida residents in this case have pleaded guilty and are awaiting sentencing. Meanwhile, three others are scheduled for a trial set to start Sept. 26.

Daniel Carver faces a maximum of 25 years in federal prison after pleading guilty on Thursday to conspiracy to commit health care fraud and wire fraud and conspiracy to defraud the United States and to pay and receive kickbacks. On Friday, Louis Carver pleaded guilty to conspiracy to commit health care fraud and could spend up to a decade behind bars.

Both men are scheduled to be sentenced Dec. 5.