Morristown, NJ – In a major crackdown on health care fraud, John and Christopher Cuffari, two brothers from New Jersey, have been handed prison sentences. Their involvement in a multi-million dollar scheme that exploited public and private health benefits programs has been exposed, according to U.S. Attorney Philip R. Sellinger.
John Cuffari, a 61-year-old resident of Cedar Grove, has been sentenced to 17 months in prison for defrauding health benefits programs. He was found guilty of billing medically unnecessary compounded prescriptions, resulting in a loss of at least $5.3 million. U.S. District Judge Renee Bumb delivered the sentence on January 4, 2023, at the Camden federal court.
Christopher Cuffari, 57, of Little Falls, received a harsher punishment with a 27-month prison term for his involvement in defrauding programs of $7.89 million. On January 3, 2024, U.S. District Judge Peter Sheridan delivered this sentence in Trenton federal court.
The defendants have admitted to their participation in acquiring millions of dollars from insurance plans through fraudulent reimbursements for compounded medications. This case brings attention to the far-reaching consequences of healthcare fraud, as James E. Dennehy, the Special Agent in Charge of the FBI Newark, emphasised the detrimental effects such actions have on patients who require legitimate healthcare.
The Cuffari brothers worked as sales representatives for different marketing companies and compounding pharmacies from November 2014 to September 2017. During this time, they carried out a scheme to target insured individuals and sell them unnecessary compounded medications like scar creams, wound creams, and metabolic supplements/vitamins. They even went as far as facilitating cash payments to a physician in New Jersey in exchange for writing these prescriptions.
Such fraudulent activities not only cause immediate financial damage but also have broader implications for the healthcare system. These actions underscore the importance of maintaining ongoing vigilance to combat and prevent such fraud.
Both brothers have also received three years of supervised release after serving their prison sentences. The FBI, led by Special Agent in Charge Dennehy, spearheaded the investigation, which concludes with these verdicts. This highlights the continuous dedication to maintaining the integrity of the healthcare system.
Assistant U.S. Attorney Chelsea D. Coleman from the U.S. Attorney’s Office, Opioid Abuse Prevention and Enforcement Unit in Newark, represented the government in this case, emphasizing the gravity with which such offenses are handled.
This case is a clear reminder of the consequences that come with defrauding healthcare systems and the unwavering determination of law enforcement to hold the culprits accountable.
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