Medical Billing Company Owner Pleads Guilty to Healthcare Fraud

Scott Newcombe, age 40, of Plattsburgh, New York, pleaded guilty to healthcare fraud. Newcombe admitted that from approximately April 2020 through April 2023, he acted as the office manager and healthcare claims biller for two physicians’ practices in Plattsburgh through a company that he formed called SJ Healthcare Management Services, LLC (SJHMS). SJHMS charged a fixed monthly fee under which Newcombe performed various management, administrative, and billing services for the practices. He admitted that he submitted false and fraudulent claims to public and private insurers on behalf of those practices for services that, in some instances, were never provided and, in other instances, were provided at lower reimbursement rates than the amounts billed. For example, Newcombe admitted that he submitted claims to insurers for medical procedures that were purportedly performed by a provider on him but which, in fact, never occurred.

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