Sep 27, 2024
HONOLULU (KHON2) -- Stephen Timothy Wells, the owner of Oahu Spine and Rehab clinics, pleaded guilty in federal court on Wednesday to health care fraud charges involving false billings. Get Hawaii's latest morning news delivered to your inbox, sign up for News 2 You Sentencing is set for January 29, 2025, before U.S. District Judge Jill A. Otake. Wells, 41, admitted to defrauding health care benefit programs, including TRICARE, which serves U.S. military members and their families, as well as Medicare. According to court documents, from July 2013 to early 2020, he submitted false claims for physical therapy services that were not actually provided by licensed professionals. Police searching for attempted murder suspect Instead of qualified staff, Wells used unlicensed workers, including massage therapists and personal trainers, to deliver services. He directed his clinic to file claims under the provider numbers of licensed doctors and therapists, falsely claiming they had personally treated patients. As part of his plea agreement, Wells acknowledged that his actions resulted in losses between $250,000 and $550,000. He agreed to pay restitution totaling $392,157.20, with half due before sentencing. Both Wells and the United States have recommended a sentence ranging from probation to two years in prison. Download the free KHON2 app for iOS or Android to stay informed on the latest news The investigation was conducted by the Defense Criminal Investigative Service and the Office of Inspector General of the Department of Health and Human Services, with Assistant U.S. Attorney Mohammad Khatib leading the prosecution.
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