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William J. Ihlenfeld, II

1125 Chapline Street, Federal Building, Suite 3000 ● Wheeling, WV 26003
(304) 234-0100 ● Contact: Fawn E. Thomas, Public Affairs Specialist

May 13, 2011

Martinsburg Physician Sentenced on
Health Care Fraud Charges

MARTINSBURG, WEST VIRGINIA — A 55 year old Martinsburg physician was sentenced on May 9, 2010, in United States District Court in Martinsburg by Chief Judge John Preston Bailey.

United States Attorney William J. Ihlenfeld, II, announced that DANINE A. RYDLAND, MD, was sentenced to 12 months and one day imprisonment to be followed by three years supervised release. Dr. RYDLAND was convicted at trial on 34 counts of health care fraud on February 3, 2011, based on evidence presented of the fraudulent billings which she submitted to Medicare, Medicaid, Unicare (Medicaid HMO) and the Public Employee Insurance Agency (PEIA) health care benefit programs during the period of June 1, 2004, to December 18, 2008. The evidence at trial showed that as part of a scheme to defraud Medicare, Medicaid, Unicare and PEIA during this time period, Dr. RYDLAND caused Medicare, Medicaid, Unicare and PEIA to pay for medical services which she did not, in fact, provide. Dr. RYDLAND provided medical services which did not qualify for payment at higher rates, and then falsely entered codes on her bills that reflected she had provided those higher level services. It was also part of her scheme that she caused Medicare, Medicaid, Unicare, and PEIA to pay for services that she did not provide at all.

Dr. RYDLAND was ordered to pay restitution in the amount of $38,013.79 to Medicare; $11,378.58 to the Unicare health care benefit program; $7,036.29 to the West Virginia Public Employee Insurance Agency (PEIA); and $76,025.64 to the Medicaid program.

Dr. RYDLAND is currently free on bond and will self-report to a designated federal institution.

The case was prosecuted by Assistant United States Attorneys Erin K. Reisenweber and Robert H. McWilliams, Jr. The case was investigated by the United States Department of Health and Human Services - Office of Inspector General and West Virginia Medicaid Fraud Control Unit of the West Virginia Department of Health and Human Services.