News and Press Releases

Pair from Northeast Ohio accused of defrauding the department of veterans affairs out of more than $110,000

May 15, 2012


A criminal information was filed charging Mack J. Johnson, Jr. and Dawn Mungin with one count of conspiracy to commit health care fraud, said Steven M. Dettelbach, United States Attorney for the Northern District of Ohio.

Johnson, age 46, resides in Cleveland Heights, Ohio, and Mungin, age 47, resides in Bedford Heights, Ohio. They are accused of defrauding the Department of Veterans Affairs (VA) out of more than $110,000.

Johnson was the owner and operator of PRN Medical services, a vendor approved by the VA to provide durable medical equipment to veterans served by the Department of Veterans Affairs Medical Center (VAMC).

Mungin was employed as a purchasing agent at the VAMC and her duties included procuring medical equipment. The information alleges that Johnson and Mungin conspired to defraud the VA by submitting false and/or inflated invoices from Johnson’s company PRN, which Mungin, in her capacity as purchasing agent, would approve for payment. For example, the information alleges that Mungin would inform Johnson of the bids other vendors had submitted for a particular project, allowing Johnson to outbid his competitors and ensuring that PRN would receive the VA contract.

The information further alleges that, after completing the VA contract for work, PRN would submit an invoice for an inflated amount or, in some instances, PRN would submit an invoice for work performed when no work was in fact completed.

The information further alleges that as a result of this conspiracy PRN received approximately $110,581 to which they were not entitled.

If convicted, the defendants’ sentences will be determined by the Court after review of the Federal Sentencing Guidelines and factors unique to each case, including each defendant’s prior criminal record, if any, the defendant’s role in the offenses and the characteristics of the violations.

The information is the result of an investigation by the U.S. Department of Veterans Affairs, Office of Inspector General and the Cleveland Office of the Federal Bureau of Investigation. The case is being prosecuted by Assistant U.S. Attorney Michael L. Collyer.

An information is only a charge and is not evidence of guilt. A defendant is entitled to a fair trial in which it will be the government’s burden to prove guilt beyond a reasonable doubt.


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