Texas Doc Charged with Fraud

An El Paso physician and clinic owner has been arrested and charged with 99 counts of fraud for a scheme he created to defraud health insurance companies.

According to The El Paso Times, Dr. Anthony Francis Valdez, psychiatrist and owner of the International Institute of Pain Management clinics in El Paso and San Antonio, was arrested for bilking health care companies $42 million dollars for treatments allowing him to fraudulently cash in on about $12.3 million dollars.

 “An indictment stated that between 2001 and 2009 Valdez periodically billed Medicare, Tricare and the Texas Workers’ Compensation Commission for treatments not covered by those programs.”

“Valdez was also accused of training non-licensed employees to administer treatments such as prolotherapy, a procedure meant to strengthen weak ligaments or relieve pain.”

“The indictment alleges the doctor illegally dispensed fentanyl, hydrocodone and oxycontin. Prosecutors claim Valdez gave employees his prescription pad so that they could write prescriptions for patients when he was not available.”

Valdez is no stranger to run-ins with the law regarding his medical practice. In 1998 the Texas Medical Board assessed an administrative penalty against Valdez for “failure to practice medicine in an acceptable manner consistent with public heath and welfare.”  He was also accused of filing fake workers compensation claims involving over $70,000 in 1999.

Valdez was charged on Monday, and bond was set at $20,000.  He faces multiple counts of health care fraud, making false statements relating to health care matters, mail fraud, wire fraud, money laundering and unlawful distribution of controlled substances.  He is still able to practice medicine pending the outcome of the case.  Hopefully knowing that his business is under the law’s microscope, he’ll be more honest when it comes to his billing process.