NY Psychologist Charged with Insurance Fraud

October 30, 2001

Local police have arrested Barbara Sternberg, a licensed psychologist in Yorktown Heights, on charges of insurance fraud, grand larceny and falsifying business records, following an investigation by the New York State Insurance Department’s Frauds Bureau and the Westchester County District Attorney’s Office.

Sternberg allegedly filed claims for non-existent treatments that were never rendered to members of the Oxford Health Insurance Plan totaling $191,000 between 1997 and July 2000. Authorities charged that she received over $65,000 for these non-existent services to 29 patients.

Numerous irregularities were cited in the NYSID’s announcement, including bills for services prior to any actual treatments, fictitious treatment dates, and charges for treatment of Oxford Plan family members who never received them. Apparently on five occasions bills were sent for a number of hours that exceeded the number of hours in a day.

The Department cited the case as evidence of its aggressive fight against insurance fraud, and asked New Yorkers to report any suspicious incidents to the NYSID at 1-888-FRAUD-NY (1-888-372-8369).

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