An Ohio doctor has pleaded guilty to charges that he conspired to accept kickbacks in connection with a fraudulent telemarketing and medical supplies scheme that affected Washington and other states.
Thomas Andrew Webster, 51, was sentenced to 24 months in federal prison, followed by three years of probation. He was also ordered to pay restitution in the amount of $839,566.44. He was also fined $50,000.
According to court documents, while a medical residency in Olympia from May 2021 to September 2023, Webster created a shell company that used telemarketing to collect personal and health information from Medicare and TRICARE beneficiaries in Eastern Washington and beyond.
He then used the data to falsify medical records and place fraudulent orders for durable medical equipment, which his shell company then sold to other companies, which in turn used them to falsely bill Medicare and TRICARE.
Robert Curry of the U.S. Attorney’s Office says Webster’s fraud affected residents in Adams, Chelan, Douglas, Grant, Kittitas, Lincoln and Okanogan counties.
Because of Webster’s fraudulent activities, Medicare and TRICARE were required to pay over $14.6 million for devices ordered for over ten thousand beneficiaries, including some who received the bill despite having amputations.
Webster admitted to receiving at least $839,565 from fraudulent invoices, and U.S. District Judge Mary K. Dimke also ordered the forfeiture of funds in Webster’s accounts that represented the proceeds of his criminal activities.
The case was investigated by the Office of Inspector General, the Seattle Field Office of the U.S. Department of Health and Human Services, and the Western Field Office of the Defense Criminal Investigative Service. Assistant U.S. Attorney Dan Fruchter was in charge of the case, while Assistant U.S. Attorney Brian M. Donovan was in charge of forfeiture.
