Vanessa R. Waldref, the United States Attorney for the Eastern District of Washington, announced that Thomas Andrew Webster, MD, age 51, of Sylvania, Ohio, pleaded guilty to conspiring to accept kickbacks in connection with a fraudulent telemarketing and medical supply scheme throughout Washington and in other states. United States District Judge Mary K. Dimke imposed a sentence of 24 months in federal custody to be followed by 3 years of supervised release, as well as restitution of $839,566.44. In addition, Judge Dimke imposed a fine of $50,000.
According to court documents and information presented at the sentencing hearing, between May 2021 and September 2023, Dr. Webster participated in a telemarketing scheme and conspiracy. A company identified as “Company A” obtained Medicare and TRICARE beneficiary information by using telemarketers to contact patients in Eastern Washington and elsewhere to obtain their personal and health information. Company A then used the information to create a fake medical record that falsely and fraudulently reflected doctor visits and treatment supposedly performed by Dr. Webster that did not exist, and fraudulent medical orders for durable medical equipment. Dr. Webster then signed the fraudulent medical documentation and durable medical equipment orders, which were then sold by Company A to companies that used the orders to falsely bill Medicare and TRICARE. Company A and Dr. Webster also falsely and fraudulently billed Medicare and TRICARE for the fictitious doctor visits and exams that did not take place.
Medicare and TRICARE paid more than $14.6 million for durable medical equipment fraudulently ordered by Dr. Webster for more than ten thousand beneficiaries in Eastern Washington and elsewhere, including beneficiaries who lacked the limb for which Defendant supposedly performed the exam and ordered the durable medical equipment, because it had been previously amputated. Dr. Webster also admitted to directly receiving at least $839,565 from Medicare and TRICARE for fraudulent doctor visits and exams that never took place. As part of the sentence, the court also ordered forfeiture of funds in Dr. Webster’s bank and investment accounts representing the proceeds of his criminal conduct, and ordered Dr. Webster to pay restitution to the Medicare and TRICARE programs.
