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Sat Nov 23, 2019, 04:16 AM

Orthopedic Surgeon Sentenced to 2 Years in Federal Prison for Receiving Kickbacks in Massive Health

Orthopedic Surgeon Sentenced to 2½ Years in Federal Prison for Receiving Kickbacks in Massive Health Care Fraud


SANTA ANA, California – A spinal surgeon was sentenced today to 30 months in federal prison for participating in a long-running health care fraud scheme in which he received at least $5 million in kickbacks for performing hundreds of spinal surgeries. The overall scheme resulted in more than $580 million in fraudulent bills being submitted, mostly to California’s worker compensation system.

Dr. Daniel Capen, 70, of Manhattan Beach, was sentenced by United States District Judge Josephine L. Staton, who also ordered Capen to forfeit $5 million to the United States and pay a $500,000 fine.

Capen, an orthopedic surgeon specializing in spinal surgeries, pleaded guilty in August 2018 to conspiracy to commit honest services fraud, and soliciting and receiving kickbacks for health care referrals.

The kickback scheme centered on Pacific Hospital in Long Beach, which specialized in surgeries, especially spinal and orthopedic procedures. Pacific Hospital’s owner, Michael D. Drobot, conspired with doctors, chiropractors and marketers to pay kickbacks in return for the referral of thousands of patients to Pacific Hospital for spinal surgeries and other medical services paid for primarily through the California workers’ compensation system.

Read more: https://www.justice.gov/usao-cdca/pr/orthopedic-surgeon-sentenced-2-years-federal-prison-receiving-kickbacks-massive-health

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