Government, Health Care, and Law

Judge sentences psychologist to prison for fraud

December 4, 2017
TAGS fraud
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A psychologist will spend years in prison after the Kalamazoo office of the FBI discovered he conducted a fraud scheme.

U.S. District Court Judge Gordon Quist sentenced George E. Compton. Jr., 63, to 28 months in prison after he pled guilty to committing health care fraud from Jan. 1, 2013 to June 30, 2016, according to the U.S. Attorney’s Office for the Western District of Michigan last month.

“Unfortunately, this case represents yet another example of how some health care professionals allow their own greed to lead them down the path of defrauding health care benefit programs and ultimately harming consumers,” U.S. Attorney Andrew Birge said. “My office will continue to vigorously prosecute those who commit health care fraud against private or public health insurance plans.”

The U.S. Attorney’s Office said Compton, who had a psychology practice in Coldwater, billed his patients’ health care insurance companies for counseling sessions that exceeded the number of actual counseling sessions he provided.

For instance, the office said the psychologist billed a patient’s insurance 100 times when her children actually attended counseling sessions eight times.

Compton, a native of Sturgis, created "fake" patient counseling notes in an attempt to make it appear as if he "actually provided counseling sessions" on dates that he knew he had previously submitted false billings, according to the office.

The office said that when patients and/or health care benefit providers became suspicious of his excessive billing, Compton said it was a result of an honest mistake or automated billing functions of his billing software, and he reimbursed the benefits provider for the over payment.

Compton acquired more than $800,000 in "fraudulent" payments from insurance companies over 41 months, and he used $410,000 of the total to purchase items with various credit cards, the office said.

Compton bought sound equipment for his business, ACE Mobile Recording, and also spent money on vacations, concert tickets and other personal items.

David Gelios, special agent in charge of the FBI’s Detroit office, said his department is committed to stopping fraudulent insurance activities.

“So long as there are those like Mr. Compton who place greed over their oath and siphon away critical resources from our health care system, contributing to the rising cost of health care for all Americans, the FBI and our partners will continue our work to identify offenders and bring them to justice,” Gelios said.

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