Partial mistrial for Kentucky doc accused of unneeded surgeries to defraud insurers

Jurors were tasked with reaching a unanimous verdict determining guilt or innocence on 10 criminal charges stemming from the United States' allegation Paulus performed unnecessary procedures to defraud insurance companies.

After five days of deliberation, jurors announced they were deadlocked.

"We have reviewed the counts over and over and making no headway," read a juror note filed Tuesday.

Defense attorneys for Paulus immediately moved for a mistrial, but U.S. District Judge David L. Bunning instructed jurors to head back to the jury room for further deliberation on Tuesday afternoon.

As of Wednesday, the defense renewed their motion for a mistrial on all counts, which Bunning granted, with exception of one count. Jurors said they reached an agreement regarding Paulus's alleged falsification of medical records.

Jurors unanimously found Paulus not guilty on one count of making false statements relating to health care matters.

Bunning declared a mistrial on 10 counts, including health care fraud and 9 additional counts of falsifying medical records.

Paulus will remain under indictment while the government decides to dismiss the case or prosecute for a third time.

This was the second time a jury heard evidence in the former King's Daughters cardiologist's more than a decade's-long legal saga.

A federal investigation began in 2011. Paulus was indicted on more than 20 criminal charges eight years ago and had a jury trial in 2016.

In 2016, jurors found Paulus guilty of 11 counts of performing unnecessary stent procedures and diagnostic catheterizations and falsifying patient records to perform them. However, Bunning vacated Paulus's five-year sentence in 2017 after his defense team launched an appeal.

Bunning's decision was overturned by the U.S. Sixth Circuit of Appeals in 2020 leading to the current mistrial.

The United States must file a status report and their intentions of further prosecution by Jan. 3.

If the government decides to try the case again, that could result in a third jury trial for the 10 remaining counts.

An order of acquittal was entered for the remaining count in accordance to the jury's verdict.

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