Authorities: Psychiatrist sent more than 50,000 fraudulent Medicare, Medicaid nursing home claims

Share this article:
A Chicago psychiatrist is accused of submitting $190,000 in false claims to Medicare and Medicaid and receiving kickbacks for prescribing antipsychotics.

Michael J. Reinstein, M.D., also allegedly submitted at least 50,000 claims to Medicare and Medicaid, saying he provided “pharmacologic management” for patients at more than 30 area nursing homes and long-term care facilities, the Department of Justice said Thursday.

“This is the largest civil case alleging prescription medication fraud against an individual ever brought in Chicago,” said Gary S. Shapiro, Acting United States Attorney for the Northern District of Illinois

Clozapine, which is prescribed to treat schizophrenia, is under scrutiny in the case: The DOJ says that at one point Reinstein had 1,000 patients on Clozaril as part of an agreement with Novartis to promote the drug. After that agreement ended in 2003, IVAX Pharmaceuticals, Inc. began paying a $50,000 “consulting fee” to Reinstein in exchange for him prescribing generic clozapine, the lawsuit says. Officials say that the physician then “became the largest prescriber of generic clozapine in the country.”

Share this article:

More in News

Bulk of Medicaid to be managed care in two years: Avalere

Bulk of Medicaid to be managed care in ...

More than three-quarters of Medicaid beneficiaries will be enrolled in a managed care plan as of 2016, according to an Avalere Health analysis released Thursday. The numbers reveal that managed ...

Nursing home asked for employee's personal information too often, jury rules

The human resources department of a Maine nursing home did not properly protect a former employee's personal identification information, a jury recently ruled.

Test could confirm sepsis within an hour

Nursing home residents might benefit from a new way of diagnosing and treating sepsis made possible by discoveries out of the University of British Columbia.