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Guilty Plea in Health Care Fraud Scheme

Posted/updated on: July 23, 2010 at 5:27 pm



TYLER – A 49-year-old Henderson woman has pleaded guilty in Tyler to federal health care fraud-related charges. Sheena Shelton pleaded guilty to health care fraud and wire fraud Thursday before U.S. Magistrate Judge John D. Love.

According to officials, from 2003 to 2009, Shelton controlled and operated KC Medical Supplies, a durable medical equipment supplier in Longview. During that time, Shelton devised and carried out a scheme to defraud Medicare and Medicaid by submitting fraudulent claims for equipment and supplies which had not been prescribed or authorized by a physician. Shelton prepared documents that falsely represented that physicians had prescribed or ordered medical equipment for certain beneficiaries although they had not. Shelton forged the signatures of local physicians to fraudulent claim forms before submitting them to Medicare and Medicaid for payment.

Shelton faces up to 10 years in federal prison for the health care fraud charge and up to 20 years in federal prison for the wire fraud charge. A sentencing date has not been set.



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