Thaddeus Bereday faces a maximum penalty of five years in prison for his role in a fraud scheme involving four other individuals. Mr. Bereday and former WellCare CEO Todd Farha, former CFO Paul Behrens, and former WellCare employees William Kale and Peter Clay were indicted March 2, 2011, for allegedly submitting fraudulent documents to Florida’s Medicaid program to inflate the costs of behavioral healthcare services. Federal prosecutors claim the scheme took place between summer 2003 and the fall of 2007.
A federal jury in Florida convicted the four other individuals following a 13-week trial in 2013. However, Mr. Bereday did not take part in the trial due to health-related issues.
In his plea, Mr. Bereday admitted he knowingly submitted false claims to the Medicaid program in 2006. A sentencing date has yet to be set.
More articles on legal and regulatory issues:
FCC fines man $120M for robocall spree that interfered with hospital communications network
8 latest healthcare industry lawsuits, settlements
Woman sues Illinois hospital over red-winged blackbird attack
At the Becker's 11th Annual IT + Revenue Cycle Conference: The Future of AI & Digital Health, taking place September 14–17 in Chicago, healthcare executives and digital leaders from across the country will come together to explore how AI, interoperability, cybersecurity, and revenue cycle innovation are transforming care delivery, strengthening financial performance, and driving the next era of digital health. Apply for complimentary registration now.