Physical Therapist Pleads Guilty to Obstruction and Tax Fraud Charges
Deirdre M. Daly, United States Attorney for the District of Connecticut, announced that DANIELLE FAUX, 48, of Weston, pleaded guilty today before U.S. District Judge Stefan R. Underhill in Bridgeport to one count of obstruction of a federal audit, and one count of making false statement on a federal income tax return.
According to court documents and statements made in court, FAUX owns and operates Danielle Faux PT, LLC, a physical therapy clinic located at 27 Lois Street in Norwalk. In August 2009, a contractor for the Medicare program conducting an audit of FAUX’s physical therapy practice contacted FAUX and requested records of 40 claims for physical therapy that FAUX had submitted to Medicare. The requested records included appropriate documentation to support the services billed, including the physical therapy progress notes, physical therapy flow sheet/activity sheets, and any additional documentation verifying medical necessity for the physical therapy procedures. Because no patient progress notes or similar records existed that would support many of the Medicare claims, FAUX instructed a physical therapist working for her to create detailed notes in the patient files that were requested in the audit, and FAUX similarly created such records.
As part of her plea, FAUX also admitted that from 2008 through 2011, she skimmed checks and cash proceeds from her physical therapy practice and did not declare the skimmed proceeds on her federal income tax returns. Through this conduct, FAUX avoided paying $77,640 in taxes over the four-year period.
Judge Underhill scheduled sentencing for December 15, 2016, at which time FAUX faces a maximum term of term of imprisonment of five years and a fine of up to $250,000 on the obstruction count, and a maximum term of imprisonment of three years and a fine of up to $100,000 on the tax count.
This matter is being investigated by the Federal Bureau of Investigation, U.S. Department of Health and Human Services – Office of the Inspector General, and Internal Revenue Service – Criminal Investigation. The case is being prosecuted by Assistant U.S. Attorney David J. Sheldon.