CALIFORNIA PHARMACY OWNER PLEADS GUILTY TO HEALTH CARE FRAUD SCHEME INVOLVING AMTRAK

As a part of a nationwide health care fraud enforcement action, which included charges against more than 120 defendants, James Chen, owner of Haoeyou Pharmacy, pleaded guilty in the United States District Court, Central District of California on June 19, 2017, to one count of health care fraud related to his pharmacy processing and billing TRICARE approximately $62 million in fraudulent prescriptions for compounded medications after Chen paid more than 50 percent in referral fees to marketers. Of the $62 million, Chen fraudulently billed Amtrak’s health care plan $26,953.56. Our office participated in this investigation, among other investigative agencies.