How Not to Become a Millionaire

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There is a wealth of information available on how to become a millionaire. Books, magazines and financial blogs abound with great advice, such as: earn more than you spend; save a set percentage of your income each month; or, make regular investments in the stock market. (Extreme risk takers often take a chance by playing the lottery, but it would probably be impossible to find a financial advisor that would suggest that tactic.) An article posted on MLive.com details the story of how two fraudsters attempted to make their million by stealing from Medicare.

The story states that two owners of a Detroit-area home health care agency and their co-conspirators committed health care fraud over a four-year period. The duo’s scam worked by billing Medicare for home health care services that were not medically necessary or never provided. The two also paid kickbacks to recruiters who obtained and delivered Medicare beneficiary information to the company. As a result of their illegal acts, the company owners received $952,913.27 from the government benefits program.

These two fraudsters both pleaded guilty to one count of conspiracy to commit health care fraud for their roles in the nearly $1 million fraud scheme. They are awaiting sentencing.

These health care company founders were on their way to becoming millionaires until they were busted by the Medicare Fraud Strike Force. (Fraud is definitely not a recommended way to obtain wealth.) One thing is for sure, they won’t be profiled on the cover of Forbes any time soon. However, their profile will be well documented within the penal system. Instead of letting legitimately earned revenue grow with compounded interest, it looks like they have only compounded the problems they are likely to experience in the future.

Source: Today’s ”Fraud of the Day” is based on an article titled, ”2 Plead Guilty in $1 Million Detroit-area Home Health Care Fraud Scheme,” written by David Muller and posted on MLive.com on November 13, 2014.

DETROIT, MI – The founders of a Detroit-area home health care agency pleaded guilty in federal court Thursday for their roles in a nearly-$1-million fraud scheme.

The FBI said in a release that Attaullah Arain, 47, and Nadia Arain, 41, both of Brownstown, Mich., pleaded guilty before Senior U.S. District Judge Arthur J. Tarnow in the Eastern District of Michigan to one count of conspiracy to commit health care fraud.

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Larry Benson, Senior Director of Strategic Alliances, LexisNexis Risk Solutions - Government

Larry Benson is responsible for developing strategic partnerships and solutions for the government vertical. His expertise focuses on how government programs are defrauded by criminal groups, and the approaches necessary to prevent them from succeeding.

Mr. Benson has 30 years of experience in sales and business development. Before joining LexisNexis® Risk Solutions, he spent 12 years founding and managing two software technology startups. During the 1990s he spent 10 years as a Regional Director helping to grow a New England-based technology company from 300 employees to 7,000. He started his career with Martin Marietta Aerospace working on laser guided weapons and day/night vision systems.

A sought-after speaker and accomplished writer, Mr. Benson is the principal author of “Fraud of the Day,” a website dedicated to educating government officials about how criminals are defrauding government programs. He has co-authored WTF? Where’s the Fraud? How to Unmask and Stop Identity Fraud’s Drain on Our Government, and Data Personified, How Fraud is Changing the Meaning of Identity.

Benson holds a Bachelor of Science in Physics from Albright College, and earned two graduate degrees – a Master of Business Administration from Florida Institute of Technology, and a Master of Science in Engineering from Lehigh University.