New York Psychiatrist Xingjia Cui Sentenced for Health Care and Tax Fraud

August 14, 2019

ROCHESTER, N.Y.—U.S. Attorney James P. Kennedy, Jr. announced today that Dr. Xingjia Cui, 56, of Pittsford, NY, who was convicted of health care and tax fraud, was sentenced to serve 12 months and 1 day in prison by U.S. District Judge Elizabeth A. Wolford. He was also ordered to pay restitution in the amount $597,823.

Assistant U.S. Attorney John J. Field, who handled the case, stated that the defendant was employed full-time by the Canandaigua Veterans Administration Medical Center, and in addition, Dr. Cui also maintained a private psychiatric practice in Canandaigua, NY.

A joint investigation involving federal, state and local law enforcement agencies showed that Dr. Cui had billed health insurance companies for psychotherapy services that he did not provide to his patients. Specifically, from January 1, 2013, to October 5, 2015, Dr. Cui willfully defrauded health insurance benefit programs of approximately $79,275 by fraudulently billing for psychotherapy services he did not provide.

In addition, the investigation showed that Dr. Cui failed to report on his federal income tax returns hundreds of thousands of dollars of payments that he received directly from his patients. For tax years 2010 through 2014, Dr. Cui failed to report approximately $381,447 income that he earned, resulting in a tax loss to U.S. Treasury in the approximate amount of $132,704.

The sentencing is the culmination of an investigation on the part of the Federal Bureau of Investigation, under the direction of Special Agent-in-Charge Gary Loeffert; the Internal Revenue Service, Criminal Investigations Division, under the direction of Jonathan D. Larson, Special Agent-in-Charge, New York Field Office; the New York State Department of Financial Services, under the direction of Superintendent Linda Lacewell; the New York State Medicaid Fraud Control Unit, under the direction of William Falk; and the Ontario County Sheriff's Office, under the direction of Sheriff Kevin M. Henderson.

Source: “Former VA Psychiatrist Sentenced For Health Care And Tax Fraud,” press release of the United States Attorney’s Office for the Western District of New York, July 22, 2019.