Milwaukee health care fraud scheme, woman sentenced to federal prison
Milwaukee Federal Building & U.S. Courthouse
MILWAUKEE - The owner of a now-defunct Milwaukee prenatal care company has been sentenced to more than nine years in federal prison, and ordered to pay more than $780,000 in restitution, for a health care fraud scheme.
The backstory:
According to the Federal Bureau of Investigation, court documents said 32-year-old Precious Cruse offered kickbacks in the form of free baby items to lure young mothers and pregnant women to her business. She then used the victims' personal information to submit claims to Medicaid for services that were never provided.
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In court:
In September, a federal jury convicted Cruse of nine counts of health care fraud, one count of money laundering and six other counts tied to the scheme.
Chief U.S. District Judge Pamela Pepper described the evidence against Cruse as "overwhelming" and noted its impact on both taxpayers and the people she was supposed to help.
The judge sentenced Cruse to nine years and three months in federal prison, and ordered her to pay $780,600.07 in restitution to Medicaid.
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Official statements
What they're saying:
U.S. Attorney Brad Schimel:
"The lengthy prison sentence and immediate remand of the defendant into custody are clear messages to anyone who steals from social service programs designed to help our most vulnerable neighbors: we are coming after you and you will be held accountable. The investigators from the FBI and prosecutors from the Office of the United States Attorney did amazing work to bring this defendant to justice."
FBI Milwaukee Special Agent in Charge Alan Karr:
"Healthcare fraud schemes that exploit federal programs erode public trust and steal from the American people. Precious Cruse defrauded taxpayers and diverted resources that were meant to provide assistance to those who need it most, pregnant women and children. The FBI will continue to work aggressively with our partners to combat and prevent healthcare fraud."
The Source: FOX6 News referenced information from the Federal Bureau of Investigation and the U.S. Attorney's Office for the Eastern District of Wisconsin.