Louisiana Woman Charged with Healthcare Fraud, Faces up to 10 Years in Prison if Convicted

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Published June 23, 2022

Louisiana Woman Charged with Healthcare Fraud, Faces up to 10 Years in Prison if Convicted

Louisiana – On June 23, 2022, the U.S. Attorney’s Office for the Eastern District of Louisiana, announced that, Erika James (“James”), age 48, a resident of New Orleans, Louisiana, was charged on June 21, 2022 with one count of healthcare fraud.

James worked as a Denial Specialist at Crescent Care, a Federally Qualified Health Center and AIDS Service Organization, according to the bill of information. In the New Orleans area, Crescent Care provides HIV medical care, other health care, and social services.

From March 2020 to April 2021, James generated fraudulent invoices with falsified supporting documents, such as insurance company explanation of benefits documents. James endorsed checks issued to patients in amounts greater than the usual range of the refund amount. James submitted claims to the system that made it appear that patients came to Crescent Care and paid for services out of pocket. James would then have the Finance Department issue the patient a refund check, which he would deposit into her personal bank account.

In December 2020, James filed additional claims with the Louisiana Health Access Program (“LAHAP”) and instructed LAHAP to mail the checks to her address. The checks sent to James’s house were made payable to Crescent Care. James then deposited the checks into her personal bank account.

If convicted, James faces a maximum sentence of ten years in prison, three years of supervised release, a $250,000 fine, and a mandatory special assessment fee of $100 per count.

According to the United States Attorney’s Office for the Eastern District of Louisiana, the bill of information is only a charge and the defendants’ guilt must be proven beyond a reasonable doubt.

The Office of Inspector General at the US Department of Health and Human Services is looking into the case. Assistant United States Attorneys J. Ryan McLaren and Kathryn McHugh are prosecuting the case.