Margate doctor sentenced for role in health care fraud case Margate doctor sentenced for role in health care fraud case - Insurance News | InsuranceNewsNet

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October 31, 2024 Newswires
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Margate doctor sentenced for role in health care fraud case Margate doctor sentenced for role in health care fraud case

NICHOLAS HUBA Staff WriterPress of Atlantic City

CAMDEN - An Atlantic County doctor was sentenced to 15 months in prison Tuesday for defrauding New Jersey state and local health benefits programs and other insurers by submitting fraudulent claims for medically unnecessary prescriptions, U.S. Attorney Vikas Khanna said.

Brian Sokalsky, 46, of Margate, previously pleaded guilty before U.S. District Judge Robert B. Kugler to one count of conspiring to commit health care fraud. U.S. District Judge Edward S. Kiel sentenced Sokalsky in Camden federal court.

In addition to the prison term, Kiel also sentenced Sokalsky to three years of supervised release and ordered restitution of $5.13 million.

Bill Hughes Jr., Sokalsky's attorney, said the judge looked at all of the factors before sentencing his client. Sokalsky originally faced 46 to 57 months in prison under sentencing guidelines.

"It was an excellent job by the judge," Hughes said. "Dr. Sokalsky is remorseful about his mistake, but he is appreciative of the judge's thoughtful decision and of all the support that he received from the community."

The scheme, in which more than 45 people have been charged, worked by targeting holders of state-funded health insurance programs. The conspirators would use prescriptions for compound medications, which are not approved by the U.S. Food and Drug Administration and are made by a pharmacist for specific needs, to receive thousands of dollars generated from the orders.

Investigators have said the conspiracy cost the program roughly $50 million.

Sokalsky, pharmaceutical sales representative Vincent Tornari, 50, of Linwood, and former nurse Ashley Lyons-Valenti, 67, of Swedesboro, Gloucester County, were charged in a 33-count indictment in June 2020. Tornari pleaded guilty March 14, 2023, and Lyons-Valenti pleaded guilty Feb. 28, 2023, to their respective roles in the conspiracy.

Tornari and Lyons-Valenti are both awaiting sentencing.

As part of the scheme, Sokalsky agreed to authorize prescriptions for former pharmaceutical sales representative Matthew Tedesco, 49, of Linwood, who pleaded guilty to health care fraud conspiracy in June 2017, and others working with Tedesco, according to court documents.

In exchange for authorizing those prescriptions, Tedesco referred approximately 30 patients to Sokalsky's new medical practice, according to court documents. Sokalsky, in turn, billed insurance for patient visits for those people steered to his practice by Tedesco. Sokalsky also authorized prescriptions for the medications for existing patients of his practice, which he did to financially benefit Tedesco and encourage him to refer more patients to his new practice, according to court documents.

Sokalsky authorized medically unnecessary medications, including libido creams for young females and excessive quantities of medications with the maximum number of refills selected, according to court documents.

When insurance stopped covering certain formulations of the medications, Tedesco informed Sokalsky that he needed to authorize new prescriptions. Sokalsky did so, often without seeing the individual for a follow-up visit or informing the person of the change in medication. In total, insurance paid more than $5 million for fraudulent prescriptions authorized by Sokalsky, according to court documents.

Contact Nicholas Huba: [email protected] @acpresshuba

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