Seewald pleads guilty, Yowchuang no contest in McCotter petition fraud

http://www.hometownlife.com/article/20121129/NEWS10/211290596/Seewald-pleads-guilty-Yowchuang-no-contest-McCotter-petition-fraud?odyssey=mod|newswell|text|Livonia|s

Georgia Woman Faces 20 Years for "Robo-Signing" Scheme

The name “Linda Green” sounds ordinary enough to fly under the radar, and that’s just what it did as it appeared on thousands of mortgage-related documents across the United States. The only notable distinction on the documents was a variation in the handwriting.

State Attorney General Bill Schuette has charged Lorraine O’Reilly Brown, the former president of DocX and the woman behind the mortgage document “robo-signing” scheme with racketeering – a felony charge with the potential to bring Brown a 20-year sentence.

From 2006 to 2009, Brown instructed her employees to fraudulently sign various bank officials’ names (e.g. Linda Green) on mortgage documents, which resulted in quicker document processing and more money for Brown and her company. Workers at DocX allegedly forged close to a million signatures on home mortgage documents, and while the scheme may have begun in Georgia, Michigan officials discovered over 1,000 fraudulent signatures on mortgages in their own state. As Brown and DocX workers produced these fraudulent signatures, banks have used such “robo-signed” documents in order to initiate improper foreclosures.

Attorney General Schuette was one of 49 state attorneys who entered into a $25 billion settlement with five of the largest U.S. banks over improper foreclosure processes and mortgage services. As a result of the settlement, Michigan will receive over $760 million, $97 million of which will go towards Michigan’s new Homeowner Protection Fund – signed recently into law in order to help homeowners avoid foreclosure and assist law enforcement in putting an end to deceptive practices.

If you have questions about fraudulent conduct, contact Fausone Bohn, LLP at (248) 380-0000.

To learn more and see the original article, please visit: http://www.freep.com/article/20121126/BUSINESS/121126038/Michigan-AG-announces-racketeering-charged-forged-signature-case

2 ex-McCotter staffers enter pleas in election petition fraud scandal

http://www.freep.com/article/20121127/NEWS06/121127078/mcotter-petition-scandal-plea?odyssey=mod%7Cnewswell%7Ctext%7CFRONTPAGE%7Cs

Michigan Supreme Court Justice Charged with Real Estate Fraud

Diane Hathaway, Michigan Supreme Court Justice, may be facing political pressure to resign, but it seems she will not go down without a fight. Accused of real estate fraud, Hathaway may face criminal charges.

In 2010, Hathaway and her husband, attorney Michael Kingsley, contacted ING Bank in pursuit of a short sale on their Grosse Point Park home, a transaction in which a bank and borrower agree to sell a property for less than what is owed on the mortgage.

The hardship letter sent to ING Bank, however, failed to disclose the recent transfer of their Florida home to Kingsley’s daughter. As Hathaway claimed she did not possess the financial resources necessary to pay the mortgage on her Michigan property, her Florida residence seemed to have been hidden away. After the short sale of the Gross Pointe home, resulting in the erasure of over $600,000 in mortgage debt, the Florida home was quietly transferred back into Hathaway’s name.

Federal authorities filed a lawsuit to seize Hathaway’s Florida residence, accusing her of hiding real estate while persuading a bank to allow the short sale of her Gross Point residence. Hathaway and Kingsley, however, will have the chance to challenge the government in this forfeiture action.

While Michigan Chief Justice Robert Young Jr. urged Hathaway to make a statement, clearing the air and explaining the transactions, Hathaway declined to speak publicly. Matt Frendewey, spokesman for the Michigan Republican Party, pushed for Hathaway’s resignation: “Her actions are offensive to the many Michigan families who have faced difficult times during Michigan’s economic downturn.”

If you have real estate or fraud issues, contact Fausone Bohn, LLP at (248) 380-0000.

To learn more and see the original article, please visit: http://abcnews.go.com/US/wireStory/feds-accuse-michigan-judge-real-estate-fraud-17773202#.ULTCpeRlGqg and http://www.freep.com/article/20121122/NEWS06/311220087/State-Supreme-Court-Justice-Diane-Hathaway-fights-keep-home-amid-scandal-denies-rumors-resigning

McCotter Aides Plead Guilty To Some Charges In Petition Scandal

http://detroit.cbslocal.com/2012/11/27/mccotter-aides-plead-guilty-to-some-charges-in-petition-scandal/

Judge to Hear Motion to Dismiss for McCotter Staffer

Paul Seewald, former staffer for U.S. Representative Thaddeus McCotter, was charged with nine misdemeanor counts for falsely signing election nominating petitions as a circulator and one felony conspiracy charge. 

On Tuesday, Mr. Seewald pleaded guilty to the nine misdemeanor counts in Wayne County Circuit Court.  However, Judge Margie Braxton will hear an argument from Mr. Seewald’s attorney, Mark Mandell, to have the remaining felony conspiracy charge dismissed.

The Judge is expected to hear Mr. Seewald’s motion to dismiss on January 9th.

Mark Mandell, a partner at the law firm of Fausone Bohn, LLP in Northville, is defending Mr. Seewald against these charges.

If you have questions regarding fraud or other legal issues, contact Mark Mandell at 248.380.0000 or www.MichiganFraudLawyer.com.

To read the Detroit News article about the hearing, please visit:

http://www.detroitnews.com/article/20121127/METRO01/211270373/1361/McCotter-staffers-enter-pleas-in-petition-fraud-case

 

 

 

Medicare Fraud Not Limited to Home Health Agencies

Tariq Hafeez, Esq

 

Home healthcare companies aren’t the only ones overbilling Medicare – nursing homes are at it as well.  According to a report by the staff of the Inspector General of the Department of Health and Human Services, a review of nursing home Medicare bills found that about one-fourth of them were incorrect. 

This adds around $1.5 billion in annual costs to the Medicare program, according to the report.

Much of the incorrect billing involves upcoding, a common scheme where the facility submits bills to Medicare for more intensive services than actually performed to receive a higher reimbursement.  Additionally, some facilities provide treatments to patients that are inappropriate or unnecessary.

“What makes this report stand out is the sheer amount of dollars inappropriately spent,” said Jodi Nudelman, New York Inspector General who oversaw the study.  These companies are “billing for therapy that they don’t provide or which the patient doesn’t need.”

Medicare accounted for 13.5% of Federal spending last year – and that percentage is expected to grow.  With estimates labeling 30% of U.S. medical spending as “unnecessary,” cutting fraud, waste, and abuse is a key part of reducing Medicare spending - $3.7 billion has been recovered in the past 3 years. 

The OIG has said that Medicare has made several significant changes but that more needs to be done to reduce inappropriate payments.  This systematic overbilling at the expense of taxpayers is unacceptable.

If you have questions or have witnessed a nursing home or other provider committing Medicare fraud, contact the experienced fraud team at Fausone Bohn, LLP.  Call Tariq Hafeez or Breeda O’Leary at (248) 380-0000 or visit our website at www.MichiganFraudLawyer.com.

To read the original article, please visit: http://online.wsj.com/article/SB10001424127887324073504578115390581083074.html

Michigan Medicare Fraud Strike Force

Recently, in the Eastern District of Michigan, five more individuals were charged for their participation in yet another Medicare fraud scheme. The Department of Justice, FBI and the Department of Health and Human Services (HHS) announced the charges in late September, stating the individuals were involved in fraudulent health and psychotherapy services.

Defendants charged in the documents include: Mohammed Sadiq, 65, Troy, Mich.; Jamella Al-Jumail, 23, of Brownstown, Mich.; Firas Alky, 40, of Shelby Township, Mich.; Clarence Cooper, 53, of Detroit; and Beverly Cooper, 58, of Detroit.

According to court documents the scheme involved a total of more than $24.7 million in fraudulent claims submitted to Medicare. The majority of this total was billed as home health care and psychotherapy services that were either medically unnecessary or had never really occurred.

The investigation was triggered by the Medicare Fraud Strike Force. Since its inception in March 2007, the strike force has charged more than 1,330 defendants who collectively have fraudulently billed Medicare for more than $4 billion. Working in conjuncture with the FBI and HHS, the strike force hopes to increase accountability and decrease the presence of fraudulent providers.

Fausone Bohn’s team working on Medicare fraud cases include Mark Mandell, Tariq Hafeez, Breeda O’Leary and Matt Worley.

To learn more or see the original article, please visit: http://www.enewspf.com/latest-news/police-reports/36682-five-individuals-charged-in-detroit-for-alleged-roles-in-247-million-medicare-fraud-scheme.html