Placeholder Banner Image

California Man Admits To Running Fraudulent Medicare Clinic In Philadelphia

October 15, 2012


PHILADELPHIA – George Baginyan, 32, of Glendale, California, pleaded guilty today to defrauding Medicare in connection with his operation of a fraudulent clinic. Baginyan was the owner of New Era Health Center Inc. (“New Era”), a purported clinic that was located near the Einstein Medical Center in Philadelphia. Between December 2008 and October 2009, Baginyan used the National Provider Identification number (NPI) of an elderly and frail doctor of osteopathy to bill Medicare for medical services and tests, making it appear that the doctor had provided those services and tests when he had not, and when in fact the doctor had never set foot in New Era. In total, it is charged that the defendant caused the submission of fraudulent bills to Medicare totaling approximately $248,000, resulting in payments from Medicare totaling approximately $132,848.81.

A sentencing hearing is scheduled for January 30, 2013. Baginyan faces up to 150 years in prison, a term of supervised release after imprisonment of three years, a fine of $5,000,000, and a $2,000 special assessment. Mandatory restitution to the Medicare program of approximately $132,848.81 will also be ordered.

The case was investigated by the United States Department of Health and Human Services, Office of Inspector General, Office of Investigations, and is being prosecuted by Assistant United States Attorney Mary E. Crawley.

Suite 1250, 615 Chestnut Street, Philadelphia, PA 19106
PATTY HARTMAN, Media Contact, 215-861-8525


Return to Top