HomeNewsOxendine charged in health-care fraud scheme

Oxendine charged in health-care fraud scheme

Author

Date

by Dave Williams | May 20, 2022 | Capitol Beat News Service

ATLANTA – Former Georgia Insurance Commissioner John Oxendine has been indicted on federal charges of conspiring to commit health-care fraud and money laundering, the Justice Department announced Friday.

According to information presented to a federal grand jury, Oxendine conspired with Dr. Jeffrey Gallups and others to submit fraudulent insurance claims for more than $2.5 million in medically unnecessary tests ordered from a lab in Texas. Gallups already has pleaded guilty to health-care fraud.

As part of the health-care fraud scheme, the lab company agreed to pay Oxendine’s insurance services business a kickback of 50% of the net profits from eligible specimens submitted by Gallups’ practice, which amounted to $260,000.

Oxendine allegedly used a portion of the kickback money to pay debts on behalf of Gallups, paying a $150,000 charitable contribution and $70,000 in attorney’s fees.

“Patients go to their health-care provider for treatment with the expectation that their treatment or test is necessary, not a scam for fraud,” U.S. Attorney Ryan Buchanan said.

“These allegations describe someone who was more motivated by personal greed than their duty to provide appropriate and necessary care to patients,” added Keri Farley, special agent in charge of the FBI’s Atlanta office. “The FBI, along with our partners, will continue to investigate health-care fraud to ensure these individuals who willingly defraud the American people are brought to justice.”

Oxendine, 60, of Duluth, was elected insurance commissioner in 1994 on the Republican ticket and served four terms.

He ran for governor in 2010 but finished fourth in the Republican primary.

Oxendine was accused of spending campaign contributions on personal items during that gubernatorial bid. The Georgia Government Transparency and Campaign Finance Commission resolved the longest running campaign finance case in the state’s history earlier this month, approving a $128,000 settlement agreement.

This story is available through a news partnership with Capitol Beat News Service, a project of the Georgia Press Educational Foundation.

Recent posts

Recent comments

NancyBlumenthal on “Augusta” By David Sirull
Kelly Wagner on Another homicide in Augusta
Juliann McCraney on Column: Faith: Ups and downs
Robert Schloesser on Saga with Gold Cross EMS continues
Thomas Yarbrough on Garnett Johnson: In his own words
Tedd Antonacci on OPINION: Letter to the editor
Charmain Brackett on Reoccurring Members
Charmain Brackett on Short Getaways: Edisto Beach
Russell Smeak on Short Getaways: Edisto Beach
Trudy Edwards on Short Getaways: Edisto Beach
Gay Wright on Reoccurring Members
Russell Smeak on Short Getaways: Edisto Beach
Charmain Brackett on Short Getaways: Edisto Beach
Charmain Brackett on Short Getaways: Edisto Beach
Russell Smeak on Short Getaways: Edisto Beach
Thomas Plowden on Short Getaways: Edisto Beach
Charmain Brackett on Man struck by train Thursday
Thomas Yarbrough on Man struck by train Thursday
Tedd Antonacci on Man struck by train Thursday
Dennis Perry on FAITH: Our Only Hope
Robert Turbyfill on Column: Serene18 – take two
Leonard Zimmerman Jr on In The Kitchen With Vera: Oh Honey
Tedd Antonacci on Bomb threat suspect in custody
Frank Bush on FAITH: A Great Lady
Judy Wheeler on FAITH: A Great Lady
Robert Green on Kemp signs tax cut bill
Dan Barnett on FAITH: The Turtle
William Speer on Whither Ukraine?
Sherri Jones Rivers on FAITH: The Turtle
Judy Wheeler on FAITH: The Turtle
Doug Herman on Whither Ukraine?
Phillip Williams on Column: Electing judges
John Mulherin on Column: Electing judges
Sarah Scott on Column: Electing judges
Thomas Yarbrough on XPR Augusta Concerts Canceled
Bill Lesshafft on XPR Augusta Concerts Canceled
Amanda Main on FAITH: The Covid Effect
Tedd Antonacci on XPR Augusta Concerts Canceled
Rev. Bill Harrell on FAITH: The Covid Effect
Jackie VOSS on FAITH: The Covid Effect
Penny Danner on FAITH: The Covid Effect
Rabbi David Sirull on FAITH: The Covid Effect