Judge Sentences Three Family Members Convicted of Medicare Fraud

handcuffs-and-calculator-on-headlines-about-white-collar-crime.jpgTAMPA (October 21) Last week, Gregory Bane, the Vice President for Operations and I.T. manager of Bane Medical Services and Oxygen and Respiratory Therapy was sentenced to three years in federal prison for conspiracy to commit health care fraud, health care fraud, and submitting false claims. Tracy Bane, the billing supervisor, was sentenced to six months in federal prison, and 18 months of house arrest for conspiracy to commit health care fraud, health care fraud and submitting false claims. In September, Ben Bane was sentenced to twelve years and six months in federal prison for conspiracy to commit health care fraud, health care fraud, and submitting false claims.
Late last year, the Banes a federal jury returned a guilty verdict for conspiracy to commit health care fraud, health care fraud and submitting false claims. During the trial, testimony and evidence presented showed the Banes knowingly violated Medicare rules prohibiting durable medical equipment (DME) companies who sell equipment from performing their own qualification testing.
Over the course of four years, Bane Medical Services and Oxygen and Respiratory Therapy, Inc., performed incorrect tests, deliberately misled doctors about it, faked test results to make it look like patients qualified for Medicare-reimbursed oxygen even though they did not, and forged doctors signatures on Certificates of Medical Necessity.
Before being arrested, Ben Bane sold Bane Medical Services to another DME company for $21 million. Bane made it appear that an independent lab had done the necessary tests. Bags full of records were burned at Ben Bane’s house. The government showed that Bane Medical obtained more than $6.8 million from Medicare through the submission of false claims. The defendants were each also ordered to pay $7 million in restitution, a $3 million fine, a $1,000 special assessment, and the Court also entered a money judgment in the amount of $5,800,000, representing the proceeds of the health care fraud.
In order to satisfy the $5.8 million money judgment, the Court also ordered Ben Bane to forfeit a number of assets, including $1.425 million in cash, 2 mortgages, 17 real properties (homes and buildings) and 4 vehicles and vessels. In addition, the Court has entered three writs of execution to enforce the restitution order against properties owned by Bane, or which were held for his benefit.