Las Vegas physician found liable of Medicare fraud

Thursday, Feb. 19, 2009 | 4:12 p.m.

Coverage of Las Vegas area crimes

A federal jury today found 57-year-old Las Vegas anesthesiologist Eugene Chen liable of committing federal health care fraud for submitting more than 3,500 false or fraudulent claims to the U.S. government.

Chen submitted the claims between 1999 and 2006 for consultation services not requested or provided, said Greg Brower, U.S. Attorney for Nevada.

Chen, whose practice is at 3230 E. Flamingo Road, was charged in a civil complaint with violating the federal False Claims Act, Brower said. The trial began on Feb. 10 and was presided over by U.S. District Judge Philip Pro.

"The Department of Justice in Nevada will continue to pursue physicians who present false claims to the government," Brower said in a statement. "Anyone found violating the False Claims Act faces triple the proven damages as well as civil penalties and costs of prosecution."

A hearing has been set on April 14 to determine the amount of the civil penalties to be awarded to the government, which is requesting between $1 million and $2 million.

The allegations against Chen are related to Part B of the Medicare program, which is a voluntary subscription program of supplementary insurance covering items and services other than hospitalization. Medicare Part B covers only services and procedures that have been determined to be medically reasonable and necessary.

Physicians are permitted to present claims under Medicare Part B for consultations that are deemed appropriate and based on the level of complexity and amount of time spent with each patient. Physicians were permitted to bill for services in an amount set by a physician fee schedule.

The jury found that Chen submitted claims for consultation services that he had not been requested to perform, and in some cases, had not performed. Relying on Chen's false certifications on the claim forms, Medicare paid reimbursements to the doctor of about $421,000.

The case was investigated by the Department of Health and Human Services Office of Inspector General and litigated by Assistant U.S. Attorneys Roger W. Wenthe and Rob Edelman.

Discussion: 8 comments so far…

By Lenny_V

2/19/09 at 8:56 p.m.

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Civil? He obviously knows someone otherwise why is he not charged criminally?
By Johnathan_Abbinett

2/19/09 at 9:30 p.m.

Comment removed by staff.
By sparky123125

2/20/09 at 3:02 p.m.

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This case is a waste of time the government doesnt understand how rediculous they are. They are destroying the right of doctors all throughout the nation. Basically what they say is that a doctor cant do what they do best which is saving peoples lives. They are restricting what a doctor can do just because the doctor is such a good doctor, that he is able to do so many cases. I dont understand how a person can restrict someone from saving their life. This certain doctor would only charge higher because no one else could do what he did and most of the time it was an emergency so in my oppinion i wouldnt mind paying a little more to get a better service. Its like haveing a better car they are usually better and safer. Overall i think that medicare is a greedy company who only wants to get money for themselves and doesnt care about the people who save their lives.
By sparky123125

2/20/09 at 3:07 p.m.

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To the other commenters the reason why he is charged civil is because the district attorney couldnt find anything that was criminal about the case because the case is pointless
By matthewbenjamin2008

2/20/09 at 10:22 p.m.

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Consultation with another provider of health care. (NRS 630.130) A physician shall seek consultation with another provider of health care in doubtful or difficult cases whenever it appears that consultation may enhance the quality of medical services.
{Bd. of Medical Exam'rs, 630.210, eff. 12-20-79}-(NAC A 6-23-86)

If the accusation from the government against Dr. Chen is true, then it is only logical to think that at least some physicians, who did not request Dr Chen's consultation service in conjunction with the life saving procedures for their critically ill or difficult patient, would have made some statements in support of the government's allegation. But so far none has been heard. Does this raise some doubt of the validity of the allegation against Dr. Chen which I think needs our further investigation.

Considering the facts, a point that many of us, "ignorant minds" seem to over look, needs to be taken into thought, concerning this article and the statements withheld from the readers knowledge. Is this the same Dr. Eugene Chen who was voted by his peers and the medical community as one of the "Top Doctors" in the Las Vegas Life Magazine(2007). Is this the same Dr. Eugene Chen that after much research which I have acquired has been highly recommended by most Doctors and nurses in the Las Vegas medical community? Are these not facts. A man is not judged by his accusations, but by his actions, his peers, and the respect of the community that he is a part of. These are the standards that one should be judged by and these are the resources that should be investigated.

The normal person can say that at a time they were bullied by a larger power. How many times has this been true with a government figure or model? If any of you would like to research Dr. Chen's credibility, do so! We are all too influenced by those that claim knowledge. I am not saying that the government is using its abilities to the negative, but can you stand up to such a powerful force by yourself. Is the influence and power that they have, mean that they are correct. Too quickly we forget that power and influence has no true defining moral code. The misuse of power can be questioned because of the large track record of our government.

Now to address some other factors that I believe need to be addressed. This is civil and not criminal. Review the type of lawsuit this is. Dr. Eugene Chen is not a murderer or he would be accused of manslaughter. Dr Eugene Chen is a doctor that has, "if any have truly reviewed his credibility," has always had good reviews and is known through the medical community as a very capable doctor that is trustworthy. Is it time for the medical community to come out and express there thoughts. Why did the article not include the medical community's view and if they ever where questioned concerning Dr. Eugene Chen's intent to be correct or criminal.
By matthewbenjamin2008

2/20/09 at 10:22 p.m.

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One must remember that no matter what, it is the facts that matter, not the passion or emotion that can be produced by a bias explanation of not only this lawsuit, but credibility. What if a large influential power accused you with a life changing accusation and you could not say anything in defense. What if your peers or the community around you was fed a biased report? Do not forget there is always a side, a defense, a fact that is hidden to increase the power of the reporters view and opinion.

In conclusion, as a college student that is on his way to enter the medical field and after much research on the subject at hand and the local medical community being addressed I would like to address the fact that from my experience a judgment can not be made unless one has studied the facts. I find that all to often the government uses there influence to infect the fellow people, those who support and sustain it, with a sense of fear. This government must be charged as guilty. Factually, this man, this doctor has been judged by a jury that has no knowledge of the situation and that has been negatively influenced by a substantial power. Also I would like to remind you that this is a bias article. Do not close your minds to the single tree. Question your self and question the man. Research your statements and your opinions so that one will not be ignorant in his own judgment, before judgment so harsh is brought upon a man that has never proven negative credibility and to say the least criminal intent. At that time one will see the forest. Thank your for your time. I would like for any comments that could be offered delivered to my email Matthewbenjamin2008@yahoo.com. I am a college student and currently constructing a research paper. This case is a main point in my paper and I would like to find all sides of the argument. Thank you again
By Northsider

2/21/09 at 12:05 p.m.

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He is the Bernie Madoff of the medical community,trying to take advantage of the system.
By crystaloracle

2/22/09 at 9:57 p.m.

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Okay, we get your message, the guy is a skilled MD, regardless, he still broke the law by not correctly filing his paperwork, or, did he get greedy? Did he just make a very expensive mistake? Who knows? He knows. Anyway, Medicare fraud hurts everyone. Those who pay medicare taxes and those who who need medicare to survive. Doctors who cheat medicare hurt those who need it. I think our whole medical system needs a miracle makeover. Be an agent of change for the better....Maybe you are the person who will save the American medical system.