LAWFUEL – The Legal Newswire – R. Alexander Acosta, United States Attorney for the Southern District of Florida, and Jonathan I. Solomon, Special Agent in Charge, Federal Bureau of Investigation, Miami Field Office, announced today that defendant Dmitry Rakovsky was sentenced by United States District Judge Marcia G. Cooke in Miami, Florida on October 10, 2007. Rakovsky was sentenced to a term of 59 months in prison, to be followed by a term of three years of supervised release. He was also ordered to forfeit property and pay restitution in the amount of $900,000.
Dmitry Rakovsky, and co-defendants Boris Royzen and his wife Eva Royzen, were among twenty-one (21) defendants charged in a thirty-three (33) count health care fraud Indictment. The Indictment charged doctors, chiropractors, massage therapists, an office manager, and four medical clinics, Vista Mar Medical Rehab Corp., Plantation Medical Recovery Center, Inc., Romana Medical, Inc., and Dial Medical Rehab, Inc., with health care fraud. Dmitry Rakovsky was the final defendant to be sentenced in this case.
Boris Royzen was previously sentenced to 40 months in prison, to be followed by three years of supervised release. He was also ordered to forfeit property and pay restitution in the amount of $1.8 million. Eva Royzen was previously sentenced to a three year term of probation, and ordered to forfeit property and pay restitution in the amount of $1.8 million. The medical clinics were ordered to pay restitution as follows: Vista Mar: $70,674.08; Romana Medical: $20,641.85; Plantation Medical Recovery: $31,292.75; and Dial Medical: $13,818.06.
According to the evidence and court records, from November 2003 through July 2005, the defendants conspired to commit health care fraud by submitting fraudulent health insurance claim forms to insurance companies for services that were not medically necessary and/or were not rendered. The fraudulent claims were submitted under personal injury protection (PIP) provisions for alleged victims of automobile accidents. Boris Royzen and Dmitry Rakovsky paid runners to solicit victims and alleged victims of automobile accidents to become patients of the clinics. In addition, Boris Royzen and Dmitry Rakovsky caused fraudulent applications to be filed with the State of Florida, falsely stating that the defendant clinics were 100% owned by licensed medical practitioners when, in fact, the medical practitioners named on the applications were employees of the clinics.
Thirty private insurance companies, including State Farm, GEICO, AllState, Ocean Harbor Insurance, Liberty Mutual, MetLife, Direct, Progressive, Federated Insurance and United Auto Insurance were defrauded by the defendants’ submission of fraudulent claims. The defendant medical clinics received over $2.5 million in insurance payments as a result of the fraudulent activity.
Mr. Acosta commended the investigative efforts of the Federal Bureau of Investigation. Acosta also expressed appreciation for the assistance provided by the National Insurance Crime Bureau (NICB), the Florida Department of Financial Services, the Sunny Isles Beach Police Department, and the insurance companies involved in this investigation. This case was handled by Assistant United States Attorneys Jennifer Keene and Laurence Bardfeld and Senior Litigation Counsel William T. Clabault, Fraud Section, Criminal Division, Department of Justice.
A copy of this press release may be found on the website of the United States Attorney’s Office for the Southern District of Florida at www.usdoj.gov/usao/fls