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Home » Events, Health Insurance, Medicare

Biz Exec Swindles Military Health Care, Gets Prison Time

Submitted by MedHeadlines on June 17, 2008 – 6:51 pmNo Comment
 

Thomas Lutz was once a high-level executive at Health Visions Corp., a healthcare company based in the Philippines and doing business with the Pentagon.  Now he is facing five years in prison for swindling $100 million from the US military’s health insurance program.

In a US District Court, Judge Barbara Crabb called the extent of the fraudulent business practices with the US military “horrifying.”  The $100 million was taken from the Tricare program, which provides healthcare coverage to more than 9 million American servicemen and women and their dependents.

Calling Lutz’s five-year prison sentence modest, Crabb voiced the opinion that she expects it will provide ample punishment for the many acts of fraud Lutz committed against the US military.

Lutz’s complete sentence includes five years in prison plus $99.9 million in restitution to the federal government that must be paid by Lutz and Health Visions Corp.

Source: Chicago Tribune

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