Ohio A.G. Notes $3.5 Million Plea Agreement in Columbus Health Care Fraud Case

May 11, 2004

As the result of an investigation by Ohio Attorney General Jim Petro’s Health Care Fraud Section, United Medical Corp. president Joyce Beilharz and her company have agreed to pay $3.5 million in restitution for reportedly defrauding Medicaid, Medicare and the Ohio Bureau of Workers’ Compensation.

Both Beilharz and United Medical pleaded guilty in the Franklin County Court of Common Pleas to one count each of Workers’ Compensation fraud, Medicaid fraud and aggravated theft – all third-degree felonies.

“Ms. Beilharz and her company knowingly falsified claims to defraud programs supported by taxpayer dollars,” Petro said. “When you consider the perilous financial condition of the federal Medicare program and the tremendous impact Medicaid has on Ohio’s state budget, this kind of crime is all the more disturbing.”

From on or about Jan. 1, 2001, to May 30, 2003, Beilharz submitted claims and billing statements to Medicaid, Medicare and Workers’ Compensation for services that weren’t provided to patients at United Medical Corp.’s West Broad Street Medical Center, 2575 West Broad St., and Cleveland Avenue Medical Center, 1570 Cleveland Ave., in Columbus. In order to receive higher payments, Beilharz and her company falsely categorized medical-treatment claims and “up coded” office visits on forms submitted to the three programs.

Both Beilharz and United Medical will be prohibited from participating in the Medicaid, Medicare and Workers’ Compensation programs for a minimum of five years, according to federal law.

Beilharz, a Hilliard resident, also agreed to cover the cost of the investigation. Additionally, she agreed to cooperate in the investigation and prosecution of others involved in the scheme.

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