Allegiant Experts

Jul 5, 20192 min

West Hollywood Doctor Nearly Spends Fourth Of July Behind Bars

On behalf of the entire Allegiant Experts team, we
 
hope you all enjoyed a very festive and safe Fourth of July! While our nation
 
is, in no way, perfect, we’re certainly all very fortunate to call ourselves
 
Americans. May we continue to grow together as a nation, truly unite and find
 
even more reasons to celebrate our country’s birthday next year and every year thereafter.

This year, Independence Day wasn’t particularly worth celebrating for a 71 year-old, James T. Lee. As reported by Gail Pinsker in a report submitted to the Santa Monica Daily Press, the West Hollywood doctor was arrested in Vienna, Austria, this past Tuesday, on charged connected to a health care fraud scheme. He waived extradition and agreed to return to the United States.

The arrest follows a 10-count indictment from a federal grand jury on June 6th.  

As Pinsker reports, “the indictment against Lee charges
 
him with one count of conspiracy to commit health care fraud, six counts of
 
health care fraud, one count of making false statements relating to health care
 
matters, and two counts of witness tampering.”

The indictment contends that from at least May 2011 to
 
February 2019, Lee wrote prescriptions for Serostim to HIV patients. Those
 
patients then obtained the drugs and used their Medicare Part D benefits to pay
 
for them. Lee then illegally purchased the Sersotim back from his patients in
 
order to re-sell them for sizeable profits. His buyers were not HIV-positive,
 
but instead were people who used the human growth hormone for the purposes of
 
bodybuilding.

The second part of Lee’s scheme, according to the
 
indictment, alleges that the doctor submitted claims to health insurance companies
 
for Serostim injections. However, these claims were fraudulent because Lee
 
never actually provided the Serostim injections to any of his patients. “According
 
to the indictment, many of the patients did not receive the full amount of
 
Serostim that Lee billed to the insurance companies, or they received Serostim
 
that Lee had purchased from other patients,” reports Pinsker.

Lee is out on bail.

Although Lee was brought back to the U.S. from Austria to face his charges, he narrowly escaped spending the Fourth of July in prison by posting his $500,000 bail, WeHoVille.com tells us. His trial date is tentatively set for September 3rd. He will be fighting allegations that he engaged in a scheme to divert Serostim from legitimate HIV patients to other people who purchased the drug for cosmetic purposes.

As explained by Pinsker, The Food and Drug
 
Administration has approved Serostim for use only by HIV patients with wasting or
 
cachexia who are also receiving antiretroviral therapy. Not only is the sale of
 
the drug to people without prescriptions illegal, Lee’s falsified insurance
 
claims robbed insurance companies of approximately $5.9 million.

According to Pinsker’s report, “Medicare paid at
 
least $1.4 million based on Serostim prescriptions that were issued by Lee and
 
filled by patients who sold at least some of the drugs to Lee.

Are you an attorney who is currently trying a health care fraud case?

Please don’t hesitate to contact Allegiant Experts to find out how our clinical expertise may help your case. Give us a call at 407-217-5831 or email us at info@allegiantexperts.com.

#HIV #JamesTLee #Sersotim #healthcarefraud #indictment #Medicare #healthinsurance #WestHollywood

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