Michigan Physical Therapist Sentenced to Prison for Healthcare Fraud

Jay Jha, of Troy, Mich., has been sentenced to 27 months in prison for his participation in a physical therapy fraud scheme, according to a news release by the U.S. Department of Justice.

Mr. Jha pleaded guilty in Aug. 2009 to conspiracy to commit healthcare fraud. According to information contained in plea documents, Mr. Jha, a licensed physical therapist, admitted that he began working in approximately Feb. 2003 as a contract therapist for a co-conspirator who owned and controlled several companies operating in the Detroit area that purported to provide physical and occupational therapy services to Medicare beneficiaries. According to his plea documents, Mr. Jha admitted that he, his co-conspirator and others created fictitious therapy files appearing to document physical and occupational therapy services provided to Medicare beneficiaries, when in fact no such services had been provided. The fictitious services reflected in the files were then billed to Medicare through sham Medicare providers controlled by co-conspirators.

Mr. Jha also admitted that during the course of the scheme he signed approximately 336 fictitious physical therapy files, indicating that he had provided physical therapy services to Medicare beneficiaries, when in fact he had not. He also admitted that he was paid between $90 and $110 for each file he falsified. Between Feb. 2003 and Dec. 2005, Mr. Jha caused an estimated $1.6 million in false claims. Medicare paid approximately $772,800 on those claims.

Read the DOJ release on Jay Jha.

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