Federal prosecutors allege St. George men made millions in health care fraud scheme – KSL.com


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NEW YORK — Federal prosecutors in New York believe two Utah men took part in a scheme to defraud private health care providers through fraudulent telemedicine prescriptions. The scheme also allegedly involved the two Utah men operating call centers in southern Utah before moving the operation to Russia and other foreign nations.
Brycen Millett and David Bishoff, both of St. George, were brought before a New York federal court last week and accused of participating in the alleged scheme, according to U.S. District Court for the Eastern District of New York records.
A complaint filed under seal earlier this month spelled out the alleged conduct, which began around October 2018 and included call centers in Utah to help facilitate the scheme.
The two Utahns allegedly conspired with Hafizullah Ebady, of New Jersey, and Dela Saidizim, of New York — who were both indicted by a federal grand jury in November on charges of health care fraud and conspiracy to commit health care fraud, according to the complaint.
Millett, Bishoff and the two East Coast men allegedly used call centers in Utah to contact beneficiaries enrolled in private health care programs and offer them medications at no cost, without any medical exams, according to the complaint. Some people agreed to receive the medications and others did not, but court records say that either way, the four men allegedly generated phony prescriptions for medications for those people.
The four men would then allegedly create the fake prescriptions by directing Saidizim to recruit licensed physicians, the complaint states. The two East Coast men would allegedly advise the physicians to review decisions made by nurse practitioners and physician assistants to prescribe medications to beneficiaries via telehealth.
However, prosecutors said in the court filing that there is no evidence that nurse practitioners or physician assistants ever recommended or prescribed medications after the telehealth visits. The physicians also were not aware that prescriptions would allegedly be issued under their own National Provider Identifier numbers, which would identify them as the physicians issuing the prescriptions, according to the complaint. Millett and Bishoff would allegedly take the physicians’ ID numbers without their permission and use them to issue fraudulent prescriptions.
The men are believed to have bought pharmacies with prior board registration and relationships with insurers to fill the prescriptions, the complaint states. It also states the group-owned pharmacies in New York, New Jersey, Pennsylvania, Texas, Michigan and Alabama, among other states.
The group would then use those pharmacies to submit reimbursement requests to insurance companies for the phony subscriptions, using the prior owner’s information, according to the complaint. The insurance companies would discover the prescriptions were phony and end their relationship with the pharmacy, leading the men to continue the scheme through their different pharmacies.
Prosecutors believe private insurance companies, "paid at least tens of millions of dollars in reimbursements for fraudulent prescriptions," the complaint states.
The Utah call centers in St. George and Richfield, allegedly operated by Millet and Bishoff, were closed in 2019, and operations continued "in Russia and other foreign nations," according to the complaint. Money from business entities known to authorities funded the call centers, and entities also allegedly sent funds to Millett and Bishoff.
Between 2018 and 2021, Millett received over $1.7 million from the entities, and Bishoff received over $5.2 million, the complaint says. In total, the business entities allegedly sent over $12 million to Millett, Bishoff and other businesses or accounts they had access to.
The complaint also includes messages between Millett, Bishoff, Ebady and Saidizim that were obtained by investigators. The messages allegedly showed the men discussing how they solicit physicians as part of the scheme. In a message from November 2020, Ebady allegedly sent Bishoff a photo of checks from an insurance company made out to one of their pharmacies in Texas that totaled $495,000, the complaint says.
At one point, the messages allegedly showed Millett and Saidizim discussing the possibility of going to prison.
"Ya (sic) there’s no way out of this now. 5 years in the feds," Millett allegedly wrote to Saidizim. Days later, Millett allegedly wrote to Saidizim, "Either way — 25-life is the same hahaha … Put money on my books."
"I got you!! Make sure you have that extra care package every month," Saidizim allegedly said in response.
Court records indicate that both Bishoff and Millett appeared before Eastern District of New York Magistrate Judge Roanne L. Mann on April 13, and both were given bail amounts of $200,000, which they both posted.

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