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Former Hospice Director Sentenced in Medicare Fraud Scheme

June 24, 2014

Earlier this week, U.S. District Judge Eduardo Robreno sentenced Alex Pugman, former director and co-owner of Home Care Hospice in Philadelphia, to two years, nine months in prison plus restitution for his involvement in a Medicare fraud scheme. Over approximately five years, Home Care Hospice falsely billed Medicare for $16.2 million in claims.  While the guideline-sentence range called for seven to nine years in prison for Pugman, the federal prosecutor petitioned the judge for a downward departure due to Pugman’s exceptional cooperation.  According to an article on philly.com, Pugman assisted in explaining the roles of other participants in the scheme, identified fraud in Home Care’s records, testified before the grand jury and at trial and helped the government identify fraud in the healthcare industry outside of Home Care Hospice.  Pugman apologized for his conduct, saying, “It was never my intention to defraud this country.  I regret, am deeply ashamed of my actions.”

To report Medicare fraud, please contact Frohsin & Barger.

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