Insurance: Medical insurance fraudster jailed
Lawrence Saks, 57, of Rolling Hills, California, has been jailed for billing insurance companies for discretionary operations which he claimed were essential medical care - after he had billed the patients privately.
Saks operated a medical clinic in Torrance and has been convicted of defrauding insurance companies by billing for “medically necessary” procedures, even though the operations he performed were for cosmetic reasons.
Saks operated Madison Park Cosmetic Surgery and Laser Center (sic), which had offices in Torrance and San Pedro. Madison Park offered patients elective procedures like face lifts and tummy tucks. The evidence presented at trial showed that Saks collected payments from patients for elective procedures and then filed claims with their insurance companies stating they had medically necessary surgeries, such as tumour removals and hernia repairs. Saks collected approximately USD5,900 in payments after submitting nearly USD87,000 in fraudulent claims to the insurance companies.
Saks was found guilty following his second trial. During the first trial in November, a jury deadlocked 11-1 in favor of guilt.
As a result of the guilty verdicts, Saks faces a maximum statutory sentence of 166 years in prison when he is sentenced by United States District Judge Consuelo B. Marshall on 29 March.
Saks is also scheduled to go on trial on 8 March on charges of defrauding disability insurance companies that were paying Saks benefits after he falsely told the insurers that he was not able to work.
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