News releases courtesy of the U.S. Attorney’s office in Houston:
HOUSTON – Yolanda Nowlin, 41, and Carla Parnell, 49, both of Bryan, have been charged in a seven-count indictment alleging conspiracy to commit health care fraud, health care fraud, conspiracy to pay kickbacks and theft of government money, United States Attorney Kenneth Magidson announced today. Nowlin was the owner of Yellabone Medical Equipment Inc. in Bryan and Parnell was its office manager.
The sealed indictment was returned Nov. 28, 2012, and unsealed just moments ago upon their arrests. Both are expected to appear before U.S. Magistrate Judge George C. Hanks Jr. this afternoon.
According to the indictment, between July 2003 and December 2009, Nowlin and Parnell engaged in a scheme to defraud Medicare and Medicaid. The indictment alleges Nowlin and Parnell submitted claims to Medicare and Medicaid for durable medical equipment (DME) and incontinence supplies that were not delivered, not wanted and not needed by Medicare or Medicaid beneficiaries and were the product of illegal kickbacks. During the alleged conspiracy, Nowlin and Parnell submitted approximately $3,391,771.90 in fraudulent claims to Medicare and Medicaid and received $1,108,316.82 for those claims.
The indictment also alleges Nowlin and Parnell paid kickbacks to a large number of recruiters over the course of the scheme in return for the referral of beneficiaries to Yellabone.
Parnell and Nowlin are further charged with theft of government money. Both women allegedly concealed Parnell’s employment with Yellabone in order to continue receiving Social Security disability benefits to which she was not entitled.
All charges carry a possible sentence of up to 10 years in federal prison as well as a possible $250,000 fine, upon conviction.
The indictment is the result of a joint investigation conducted by agents from the Department of Health and Human Services-Office of the Inspector General and the Attorney General’s Office – Medicaid Fraud Control Unit. Special Assistant United States Attorney Adrienne E. Frazior is prosecuting the case.
In a seperate case from the U.S. Attorney’s office in Houston:
HOUSTON – A 31-count sealed indictment has been returned against an area chiropractor and four others alleging conspiracy and mail fraud in a scheme to defraud auto insurance companies such as Farmers, USAA, State Farm and AIG of more than $3 million, United States Attorney Kenneth Magidson announced today.
The indictment, returned under seal Nov. 28, 2012, was unsealed today following the arrests of Chase Lindsey, 44, Earlie Dickerson, 50, Marion Young, 52, Edward Graham, 46, and Brittany Jessie, 23. Lindsey is a chiropractor and part-owner of Lindsey Chiropractic Care in Bryan. Dickerson was the office manager of the Bryan office of Sanjoh & Associates Law Firm as well as part-owner of several chiropractic clinics he owned with co-defendants Young, Graham and Jessie in Bryan. Lindsey and Young appeared today in Houston before U.S. Magistrate Judge George C. Hanks Jr., while Graham is expected to appear before Judge Hanks tomorrow. Dickerson and Jessie appeared before a before U.S. Magistrate Judge in Waco today. Lindsey was released upon posting a $75,000 bond. Young was ordered to remain in custody pending a detention hearing scheduled for Wednesday morning.
According to allegations in the indictment, from February 2007 through December 2009, Dickerson used his position at Sanjoh and Associates to recruit individuals involved in auto accidents to be represented by the Sanjoh Law Firm. Dickerson also co-owned three chiropractic clinics in Bryan with Young, Graham, and Jessie: Texas Avenue Chiropractic Clinic, H&E Chiropractic Care and Private Chiropractic Care. Dickerson would send the individuals he recruited to these three clinics and one clinic owned by Lindsey. Lindsey was the chiropractor at all four clinics.
The indictment alleges Lindsey would routinely recommend medically unnecessary therapeutic treatments for the Sanjoh clients sent by Dickerson in return for approximately $2,000 per month, usually in cash. Lindsey also allowed false and fraudulent chiropractic clinic bills under his name from Texas Avenue Chiropractic Clinic, H&E Chiropractic Clinic, Private Chiropractic Care and Lindsey Chiropractic Care to be submitted by the Sanjoh law firm to various auto insurance companies. Jessie first prepared the fraudulent chiropractic bills, then prepared and sent settlement demand letters based on the fraudulent bills to the various auto insurance companies. The insurance companies paid the Sanjoh and Associates Law Firm and its clients more than $1.5 million based on the fraudulent claims.
Upon conviction, the conspiracy count carries a maximum penalty of 10 years imprisonment and a $250,000 fine. Each of the 30 mail fraud counts carries a maximum penalty of 20 years in a federal prison and a $250,000 fine.
The criminal charges are the result of a joint investigation by agents of the FBI and the National Insurance Crime Bureau. This case will be prosecuted by Assistant United States Attorney Al Balboni.