Date: 09-14-2024

Case Style:

United States of America v. Noli Tcruz; Isabel Tcruz

Case Number:

Judge:

Court: The United States District Court for the Eastern District of Michigan

Plaintiff's Attorney: The United States Attorney’s Office for Detroit

Defendant's Attorney:

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Description:

Detroit, Michigan criminal defense lawyer represented the Defendant charged with $5.5 Million Kickback Scheme and Tax Evasion
Home Health Care Company Operators Sentenced to Prison in $5.5 Million Kickback Scheme and Tax Evasion

A married Macomb County couple, Noli and Isabel Tcruz, both 68, were sentenced today to 6 years in prison and 38 months in prison, respectively, on health care fraud kickback conspiracy, tax evasion, and fraud charges, announced U.S. Attorney Dawn N. Ison. This follows the sentencings earlier this year of two doctors who had pled guilty to receiving kickbacks and bribes from the Tcruzes.

Joining Ison in the announcement were Special Agent in Charge Charles Miller, IRS Criminal Investigation, Detroit Field Office, and Special Agent in Charge Mario Pinto of the U.S. Department of Health and Human Services Office of Inspector General’s (HHS-OIG) Chicago Regional Office.

The Tcruzes were convicted and sentenced for schemes related to their operation of several Macomb County home health care companies that purported to provide legitimate medical care to homebound Medicare beneficiaries, but in fact engaged in fraud.

The Tcruzes engaged in an approximately $5 million conspiracy to illegally pay kickbacks and bribes to acquire referrals for home health care for Medicare beneficiaries and refused to pay their income tax obligations for both -personal and business taxes. After their last home health company was shut down in February 2020, Noli Tcruz began engaging in Covid-19 program fraud, and used a family member’s identity and company to steal from and defraud the Small Business Administration and Health and Human Services out of more than $250,000 from pandemic assistance funds.

Two physicians, Dr. Terry Baul and Dr. David Calderone pleaded guilty to accepting kickbacks and bribes for referring Medicare beneficiaries to the Tcruzes. Under their respective plea agreements, the two physicians were required to pay more than three million in restitution and forfeiture judgments and are excluded from Medicare and other federal health care programs.

“My office will diligently investigate and prosecute all types of fraud, which is driven by greed. Noli and Isabel Tcruz’s fraud harmed taxpayers and the government programs our tax dollars fund, including Medicare and Covid-19 programs,” stated U.S. Attorney Ison. “Health care professionals and providers have both an opportunity and a duty to lawfully help people, but we will not hesitate to pursue individuals like these defendants who breach those duties to line their own pockets.”

"Today's sentencing of Noli and Isabel Tcruz broadcasts that IRS Criminal Investigation and the U.S. Attorney’s office will continue their aggressive pursuit of those who use fraudulent scams in an attempt to steal from the hard-working taxpayers of America,” said Charles Miller, IRS Criminal Investigation Special Agent in Charge, Detroit Field Office. "Not only was blatant stealing of funds, allotted for the healthcare of Americans, committed; but US Citizens were stolen from again when no tax was paid on any of the couple’s income.”

"Paying kickbacks to induce referrals for medical services in federal health care programs is illegal and can lead to the delivery of unnecessary services, wasting valuable taxpayer funds," said Special Agent in Charge Mario M. Pinto of the U.S. Department of Health and Human Services Office of Inspector General (HHS-OIG). "HHS-OIG will continue collaborating with our law enforcement partners to ensure that those who engage in unlawful kickback schemes in our federal health care programs are held accountable."

This case was prosecuted by Assistant United States Attorney Andrew J. Lievense. The case was investigated by special agents of the Internal Revenue Service-Criminal Investigations Division and the Department of Health and Human Services-Office of the Inspector General.

Outcome:

Defendants were found guilty and sentenced to 6 years in prison and 38 months in prison, respectively

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Defendant's Experts:

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