Originally posted 13 Jan 20
An Armada Township psychologist was ordered to spend more than four years in federal prison for overbilling an insurance company more than $3 million partly to fund opening a Michigan hotel. He also attempted to expand a museum in his hometown.
Paul L. Smith, who most recently practiced in Shelby Township, received 51 months behind bars last Tuesday from Judge Judge Bernard A. Friedman after pleading guilty to health care fraud and unlawful monetary transactions, according to U.S. Attorneys.
Smith submitted approximately 1,700 false claims for neuropsychological testing and 140 false claims for psychological testing from January 2015 to February 2018, the indictment says.
Smith, who practiced for over 20 years at various locations throughout metro Detroit, submitted claims to Blue Cross Blue Shield of Michigan for reimbursement for services that he did not provide, U.S. Attorneys said in a news release. In three years, Smith fraudulently obtained $3.16 million from Blue Cross Blue Shield. Smith subsequently used hundreds of thousands of dollars to purchase real property, liquor licenses and furniture, in his venture to become a hotelier in Arcadia in northwest Michigan, reportedly known as “Swan Resort.”
The info is here.
