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    United States Attorney's Office
    Central District of California

    Thom Mrozek
    Public Affairs Officer

    (213) 894-6947

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    Release No. 08-095

    July 7, 2008


    A physician who was found guilty of participating in a health care fraud scheme that led to more than $9 million in fraudulent bills being submitted for unnecessary “sweaty palm” surgeries was sentenced today to 10 years in federal prison.

    William W. Hampton, M.D., 53, of Cypress, was sentenced this morning by United States District Judge Audrey B. Collins. In addition to the prison term, Judge Collins ordered Hampton to pay $2,466,352 in restitution to defrauded health insurance companies.

    A second doctor involved in the case, Mamdouh S. Bahna, 62, of Bel Air, was sentenced last year to 58 months in prison. Bahna pleaded guilty one year ago to health care fraud, admitting that he used his Bel Air Surgical Institute (BASI) to fraudulently bill insurance companies more than $2.4 million for improper procedures.

    Hampton participated in “rent-a-patient” schemes at numerous surgery centers in Los Angeles and Orange Counties, including Unity Outpatient Surgery Center in Buena Park, Valley Multi-Specialty Surgery Center in Reseda, Premium Surgery Center in Huntington Beach and BASI in Beverly Hills.  Over the course of about eighteen months from October 2002 to March 2004, Hampton performed more than 400 unnecessary thoracic sympathectomy operations, commonly called “sweaty palm surgery,” at these and other local ourtpatient surgery centers.  The patients who had the surgeries were paid to undergo the surgical procedures by so-called “marketers” hired by the surgery centers to recruit people with private health insurance who were willing to undergo unnecessary surgical procedures in exchange for cash or discounts on cosmetic surgery.  Patients were paid up to $1,200 to undergo sweaty palm surgery, an invasive procedure that involves deflating the patient’s lungs and cutting or cauterizing a nerve near the spinal column. 

    Testimony at Hampton’s trial last year indicated that the marketers coached the patients to describe false symptoms and that Hampton led them to recite additional symptoms and exaggerated the symptoms in creating medical charts used to make the surgical procedures appear to be justified.  The surgeries were billed to the patients’ health insurance providers, which paid for many of them.


    Release No. 08-095
    Return to the 2008 Press Release Index