Eight people are facing federal charges in San Diego, Calif. in what prosecutors call a kickback scheme that involved tens of thousands of dollars in bribes and $25 million in improper workers’ compensation claims.
U.S. Attorney Laura Duffy said this week that the indictments are the first in a wave of charges targeting workers’ comp fraud.
Authorities arrested five people Tuesday, including a radiologist and a chiropractor. Six companies are also charged.
The FBI says the scheme resulted in overprescribed services, higher prices and unfair competition. Duffy says patients were unwitting.
Topics California Workers' Compensation
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