Georgia Health Care Fraud Cases Involving Millions in False Medicare and VA Claims Announced

Several individuals and entities have been charged in separate health care fraud schemes involving millions of dollars in false billing to Medicare and the Veterans Administration, authorities announced.

Dr. Marion Lee, 61, of Cordele, Georgia, was charged with conspiracy to defraud the United States for allegedly billing Medicare approximately $24 million for medically unnecessary genetic testing and paying kickbacks. Lee, co-owner and medical advisor of Luminus Diagnostics in Tifton, allegedly conspired to submit false claims using “dummy proof” order forms with prepopulated diagnosis codes and frequently routed claims through another lab to avoid detection. Medicare paid about $4 million on these claims. The case is prosecuted by the Gulf Coast Strike Force and the U.S. Attorney’s Office for the Eastern District of Louisiana.

Leland Roberts, 46, also of Tifton and co-owner and CEO of Luminus Diagnostics, faces similar charges related to a $30 million genetic testing fraud scheme with kickbacks. Roberts and co-conspirators used similar methods to submit fraudulent claims, resulting in Medicare payments totaling approximately $4.4 million.

Steven D. Peyroux, 56, of Canton, Georgia, was indicted for conspiracy to commit health care fraud and related charges tied to a scheme billing Medicare about $12.1 million for over-the-counter COVID-19 tests that were never requested. Peyroux, a chiropractor and health care consultant, allegedly paid kickbacks for Medicare beneficiary information and used fabricated recordings to support false claims. Medicare paid roughly $11 million on these claims.

Dee Alice Moton, 51, of Hephzibah, Georgia, was charged with health care fraud for billing the Veterans Administration over $2.3 million for massage therapy services not provided or improperly billed. Moton owned Flowing Hands Massage Clinical Therapy in Aiken, South Carolina, and allegedly billed for services not rendered, unauthorized treatments, and false telehealth claims.

In a separate civil settlement, JD Express, Inc., a Medicaid transportation company based in Forest Hills, New York, and its owner Jose David Eufracio Hernandez, 45, of Woodstock, Georgia, agreed to pay $331,000 over allegations of submitting false claims for tolls and transportation services by unlicensed drivers and unregistered vehicles.

These cases reflect ongoing efforts by federal and state authorities to combat health care fraud and protect taxpayer dollars.