El Paso psychiatrist indicted on $41 million in health care fraud

June 15, 2010

A federal grand jury has indicted an El Paso psychiatrist and pain management specialist of 99 counts relating to health care fraud, money laundering and illegally selling controlled substances.

Court records show Dr. Anthony Valdez was indicted last week of June 7, 2010.

Valdez is the owner of the Institute of Pain Management Clinics in El Paso and San Antonio.

He's charged with carrying out an estimated $41 million in a fraudulent health care benefit billing scheme.

According to the indictment, between 2001 and 2009, Valdez trained unlicensed employees to perform prolotherapy, a type of therapy for strengthening ligaments or relieving joint pain, on patients.  Valdez then billed Medicare, Medicaid, Tricare and the Texas Workers Compensation Commission for the therapy under different medical procedures when prolotherapy wasn't covered by the patient's insurance.

Valdez is also alleged to have given employees his prescription pad and allowed them to write prescriptions when he wasn't available.

Source: Kai Porter, "Local Doctor Accused Insurance Fraud," News Channel 9, El Paso, June 15, 2010 and Adriana M. Chavez, "El Paso doctor indicted on charges of fraud, illegal selling of drugs," El Paso Times, June 14, 2010.

IF YOU HAVE INFORMATION ABOUT A PSYCHIATRIST, PSYCHOLOGIST, MENTAL HEALTH FACILITY OR ITS EMPLOYEES COMMITTING FRAUD, YOU CAN REPORT IT TO CITIZENS COMMISSION ON HUMAN RIGHTS, WHO CAN ASSIST YOU IN FILING REPORTS, COMPLAINTS, ETC.  PLEASE CONTACT STEVE WAGNER, DIRECTOR OF LITIGATION AT swagner@cchr.org

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