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Former Horton Hospital exec. named in $1.4 billion insurance fraud scheme

(WIBW)
Published: Jul. 6, 2020 at 11:26 AM CDT
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TOPEKA, Kan. (WIBW) -The man who was in charge of the Horton Hospital when it went under is facing several fraud charges after he was named in a federal indictment late last month.

According to MSC News, an indictment unsealed June 29th in Jacksonville’s US District Court names Jorge Perez, 60, and nine others in a $1.4 billion dollar insurance billing scheme.

The indictment centered around four hospitals in Missouri, Florida, and Georgia.

The Horton Community Hospital was not listed.

Officials with the Department of Justice say Perez and the nine others would use small and often rural hospitals to fraudulently bill private insurers for millions of dollars.

Perez was in charge of the company EmpowerHMS when Horton Community Hospital closed in March of 2019.

Late last year, the Kansas Attorney General’s office told 13 NEWS that they had an ongoing investigation into Perez’ company for allegations he was running an illegal billing scheme at the Oswego and Horton Hospitals.

According to MSC News, Perez and the other defendants received $400 million since 2015.

Perez is charged with conspiracy to commit health care fraud and wire fraud, five counts of substantive health care fraud, one count of conspiracy to commit money laundering and substantive money laundering.

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