HUNTSVILLE, AL (WAFF) - A local state representative faces federal charges for illegal kickbacks. Representative Ed Henry is indicted for medical fraud and an anti-kickback.
The charges stem from an alleged scheme to falsely bill Medicare through his healthcare company.
It's over an overbilling scheme involving Henry's company named MyPractice24 and another Montgomery doctor.
His business helps patients arrange appointments and get prescription refills.
According to court documents, Henry and a Montgomery family practice doctor worked out a scheme where the practice would refer patients to Henry in exchange for kickbacks to the doctor.
The indictment claims there were thousands of dollars of overbilling for a year starting in March 2016.
Here's how the indictment says the scheme played out: Henry's company would charge substantially less than the previous firm that had the chronic care services contract which allowed for more patient referrals.
Then Henry's company would bill Medicare for the chronic care services and falsely claim the patients were paying co-payments.
The co-pays claim meant Henry's company would receive a higher reimbursement from Medicare.
Representative Henry is the fourteenth defendant indicted in this federal pill mill case. Eight have already pleaded guilty.
"There is a lot of good people doing a lot of good things. Ed did some good things during the course of this legislature the impeachment process started with a phone call from me to Ed to try to get the truth to come out. And we need the truth to come out on this and it will. Ed Henry is guilty of no crime. His company provided chronic care management services to sick people and actually improved their health condition. In fact, it saved tax payers money. He has pleaded not guilty and we plan to go to trial in early October," said Rep. Mike Ball, House District 10.
Only a federal conviction will automatically remove Henry from office. His trial is set to begin October first.
I've always been as open and transparent as possible. For the last eight years I have fought the government from further encroachment on our freedoms. Yesterday began my fight with the federal government for my freedom. So while I would like to lay everything on the table for all to see, that would not be wise while fighting an opponent that has endless resources like our government. My goal was to help patients, and I did. Using a program established and promoted by Medicare, I helped chronically ill patients and saved the taxpayers' money. For that, I have been charged with multiple felonies," Henry said.
I am not guilty of any crimes.
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