Case part of Department of Justice’s 2024 National Health Care Fraud Enforcement Action
GRAND RAPIDS, MICHIGAN — U.S. Attorney for the Western District of Michigan Mark Totten today announced that Theresa A. Kordish, D.O. has admitted in a plea agreement to costing Medicare over $794,000, by using a telehealth application to improperly approve orders for medical braces and genetic testing. The charges filed in this case are part of the U.S. Justice Department’s 2024 National Health Care Fraud Enforcement Action.
Dr. Kordish signed and certified that each order was medically indicated and necessary for a particular Medicare beneficiary. In reality, Dr. Kordish clicked to approve orders in a matter of seconds, without conducting any meaningful review. On June 18, 2024, Kordish was charged by Felony Information with making a false statement in a matter involving the Medicare program. Kordish will be arraigned on the charge and a plea hearing will be held in July 2024.
“Medicare is a lifeline to millions of Americans, and its viability depends on the good faith and honesty of doctors to ensure that funds are spent appropriately,” said U.S. Attorney Mark Totten. “When doctors violate their sacred trust, they damage the integrity of our entire healthcare system. My office has zero tolerance for medical fraud.”
“It does not matter if you are a trafficker in a drug cartel or a corporate executive or medical professional employed by a health care company, if you profit from the unlawful distribution of controlled substances, you will be held accountable,” said Attorney General Merrick B. Garland. “The Justice Department will bring to justice criminals who defraud Americans, steal from taxpayer-funded programs, and put people in danger for the sake of profits.”
According to Dr. Kordish’s admissions in her plea agreement, she worked with a purported telehealth company called Real Time Physicians LLC, to approve orders for medical braces and genetic testing. Real Time did not operate a legitimate telehealth company, but instead created and maintained an internet-based exchange that produced fraudulent medical records, which were used to cause Medicare to pay fraudulent claims. Despite certifying that she had conducted the required medical review for each order she signed, Dr. Kordish approved most orders in less than 60 seconds, and still others in as little as 20 seconds—approximately the minimum time necessary to click through and apply an electronic signature. In June 2022, a federal court sentenced Real Time’s owner, Marc Sp*rn, to 14 years in prison for his role in the scheme.
“When practitioners submit false claims to our federally funded insurance programs, whether it be for prescription drugs or durable medical equipment, it severely undermines the integrity placed in our healthcare providers and contributes to millions of dollars in losses that could go to patients in need,” saidCheyvoryea Gibson, Special Agent in Charge of the FBI in Michigan.“With the support of our law enforcement partners, the FBI will continue to hold responsible all who try to defraud the government.”
“We will not tolerate fraud that preys on patients who need and deserve high quality health care,” said the Honorable Christi A. Grimm, the Department of Health and Human Services Inspector General (HHS-OIG). “The hard work of the HHS-OIG team and our outstanding law enforcement partners makes today’s action possible. We must protect taxpayer dollars and keep Americans safe from harms to their health, privacy, and financial well-being.”
The charges announced today by U.S. Attorney Mark Totten are part of a strategically coordinated, two-week nationwide law enforcement action that resulted in criminal charges against 193 defendants for their alleged participation in health care fraud and opioid abuse schemes that resulted in the submission of over $2.75 billion in alleged false billings. The defendants allegedly defrauded programs entrusted for the care of the elderly and disabled to line their own pockets, and the Government, in connection with the enforcement action, seized over $231 million in cash, luxury vehicles, gold, and other assets.
The Health Care Fraud Unit’s National Rapid Response, Florida, Gulf Coast, Los Angeles, Midwest, Northeast, and Texas Strike Forces; U.S. Attorneys’ Offices for the Southern District of Alabama, District of Arizona, Central District of California, Northern District of California, Southern District of California, District of Connecticut, Middle District of Florida, Southern District of Florida, Northern District of Illinois, Eastern District of Kentucky, Western District to Kentucky, Eastern District of Louisiana, Middle District of Louisiana, Western District of Louisiana, Eastern District of Michigan, Western District of Michigan, Southern District of Mississippi, District of Montana, District of New Jersey, Eastern District of New York, Eastern District of North Carolina, Western District of Oklahoma, District of Rhode Island, Eastern District of Tennessee, Middle District of Tennessee, Eastern District of Texas, Northern District of Texas, Southern District of Texas, Eastern District of Virginia, Western District of Virginia, Southern District of West Virginia, and Eastern District of Wisconsin; and State Attorney Generals’ Offices for Arizona, California, Illinois, Indiana, Louisiana, New York, Oklahoma, Pennsylvania, Puerto Rico, Rhode Island, and South Dakota are prosecuting the cases in the National Enforcement Action, with assistance from the Health Care Fraud Unit’s Data Analytics Team. Descriptions of each case involved in today’s enforcement action are available on the Department’s website here.
This case is being investigated by the Department of Health and Human Services Office of Inspector General (HHS-OIG) and Federal Bureau of Investigation. It is being prosecuted by Assistant United States Attorney Patrick Castle.
A complaint, felony information, or indictment is merely an allegation. All defendants are presumed innocent until proven guilty beyond a reasonable doubt in a court of law.
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