Feds allege $3.4 billion Medicare fraud scheme tied to Russian citizen living in Austin

[Javaman]

(3.4 billion by a Russian crook and not a peep in the national news)


https://www.kxan.com/investigations/feds-allege-3-4-billion-medicare-fraud-scheme-tied-to-russian-citizen-living-in-austin/

AUSTIN (KXAN) — Federal authorities say a Texas man helped orchestrate a health care fraud scheme that billed Medicare billions of dollars for medical equipment such as orthotic braces, glucose monitors, urinary catheters and wound dressings that patients often did not need and, in many cases, never received, according to a U.S. District Court criminal complaint uncovered by KXAN investigators.

Nika Machutadze, a Russian citizen who was living in Austin, is charged with conspiracy to commit money laundering tied to the alleged fraud, which involved two durable medical equipment companies operating in Florida and Texas.

The federal court records do not identify the Florida-based company, however KXAN found Florida Secretary of State records show one business associated with Machutadze named Sunshine Senior Solutions, LLC.

According to the affidavit, one of the companies submitted claims to Medicare for more than 1.6 million items billed to over 220,000 beneficiaries nationwide, resulting in $3.33 billion in Medicare charges. Investigators say Medicare processed approximately $1.78 billion of those claims as paid before suspending reimbursements.

more at link...

[RockRaven]

1. Red state... Russian... Fraud... Sounds like a Dotard pardon should be expected shortly.

Bonus points for money laundering and scale (i.e. billions).

[AZJonnie]

6. Just about to say the same, a pardon from Trump is basically a given here (nt)

[Sailingdiver]

2. Did Rick Scott change domiciles?

[pecosbob]

3. So will ICE now invade Texas?

[MagickMuffin]

8. ICE is already in Texas

The invasion will not be televised.

[sboatcar]

25. I bet there's less ICE agents in TX than in MN right now

The number of gestapo running around the streets here is unbelievable. They're getting more cowardly now though, often running back to their cars and getting out of there as soon as a crowd forms, which is almost instantly these days.

[MagickMuffin]

26. And that is by design, MN being a blue state and all

Check out the Singing Resistance group. They are awesome and give me chills listening to them.

Also the Walk for Peace has given me new hope that perhaps their message will resonate throughout the country. The Venerable Monks are drawing thousands of people, young, old, every skin tone, every religion. The tears, the joy on the faces just overwhelms me.

May you be well, happy and at peace.
🕯️🌹❤️🙏

[Ritabert]

4. Paging ICE you're needed in Texas

[MagickMuffin]

7. Sad to inform you, ICE is already here in Texas

They are everywhere!

[Ritabert]

10. I know. I was just commenting that if they're looking for fraud...

....go to Texas or Florida.

[markodochartaigh]

18. Sunny states for

shady people.

[Ritabert]

22. They're still looking for the $16 million in Hurricane Ian donations

[progressoid]

5. Send in the armed thugs!

[Torchlight]

9. I doubt trump or abbott will request any additional Gestapo in TX

to assist in these matters... bad look for them both.

[twodogsbarking]

11. Trump has issued a statement "I have never been to Machutadze Island."

[appleannie1]

12. Awe come on, a Russian living in Texas committing fraud? Why would they think that?

[dalton99a]

13. The scumbag might get himself a presidential pardon

[BlueWaveNeverEnd]

16. He transferred the money overseas. Had purchased a plane ticket. Hell be in the wind once he makes bond

While Medicare eventually suspended payments, supplemental insurers continued issuing reimbursements, allowing millions of dollars to flow into company bank accounts, according to the complaint. Authorities allege those funds were quickly transferred overseas, primarily to shell companies in Hong Kong, with little evidence of legitimate medical business expenses.


Machutadze is accused of conspiring with others to conceal the source of the proceeds through a network of domestic and foreign accounts. Investigators said they learned in January that he had purchased international airline tickets while the investigation was ongoing. According to federal court records, Machutadze’s destination was the United Arab Emirates.

[70sEraVet]

14. My Medicare was billed thousands of $ for a shitload (pee-load?) of catheters.

A 'medical supply' company in Florida. I reported it to Medicare, and when the girl heard me mention a "medical supply company in Florida", she said, "Let me guess. Catheters."
This may be the guy!

[BlueWaveNeverEnd]

15. Trump: here is your pardon. Have a nice life

[bluedigger]

17. Checks all the boxes - Russians, Chinese, UAE...

Let's get those Somalis.

[Strelnikov_]

19. Austin MN, that hotbed of statewide fraud

Oh, wait . . . it's Texas man.

And it seems Florida is throw in for good measure.

[iemanja]

20. Not Minnesota?

Not Somalis? How is it possible?

[Figarosmom]

21. So i wonder if trump will say

Texas is rife with fraud like he did to Minnesota?

[littlemissmartypants]

23. Did he register to vote, collect Medicaid and get SNAP, too?

We're Russia Two now (pun intended) have you checked Pravda, where he's no doubt being celebrated?

[xuplate]

24. I'm struggling trying to understand

Why is it that the fraud detection algorithms VISA uses can spot a $35.00 discrepancy but Medicare can’t red flag millions and millions of dollars in fraud. No wonder we can’t afford health care.

[gulliver]

27. Securing social programs against fraud...

... is a core Democratic Party issue, imo. People who defraud safety net programs need long prison sentences.

I would even bring back hard labor just for them. Defraud Medicare, Social Security, Medicaid? Here's your hammer; there are some rocks. If, as in this alleged case, the perp is not a U.S. citizen, increase the length of the sentence. Then deport once time is served in full.

[Sogo]

28. Send them to a deportation camp.

And then to the El Salvador prison. (I know, I know we supposedly don't use that anymore....)

[Luz]

29. Yeah, I was pretty sure the fraud wasn't being

committed by the Target employee with the handicapped child