Nurse Gets Nine Years for Healthcare Fraud

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  • July 9, 2009
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A registered nurse was sentenced June 29 to nine years in prison and ordered to pay $2.6 million in restitution for healthcare fraud, federal law officials announced.

John Froelich, 52, the ringleader of the allergy testing fraud scheme, pleaded guilty to federal charges for submitting fraudulent bills totaling $11.5 million and bilking more than 200 insurance companies of approximately $2.6 million.

Froelich and nine other co-defendants operating in Chicago, Ill.; northwest Indiana; and Phoenix, Ariz. under the name American Institute of Allergy (AIA), advertised free blood tests and administered allergy shots without proper medical evaluation or supervision. Injections were prepared in unsanitary conditions by individuals who were not licensed or qualified to prepare them, according to the U.S. Department of Justice (DOJ).

For more information, read the U.S. Attorney, Northern District of Illinois press release.

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