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Justice News

Department of Justice
U.S. Attorney’s Office
Eastern District of California

FOR IMMEDIATE RELEASE
Wednesday, April 24, 2019

Founder and CEO of Fresno Substance Abuse Treatment Center Arraigned Today for Defrauding Health Insurance Carriers

FRESNO, Calif. — A federal grand jury returned an eight-count indictment on April 11 against Orlando Gillam, 45, of Fresno, charging him with mail fraud for a scheme that defrauded insurance carriers, U.S. Attorney McGregor W. Scott announced.

According to court documents, Gillam is the founder and CEO of Dunamis Inc. Group Home, a nonprofit that provided services that included alcohol and drug treatment and counseling. Between January 2016 and January 2018, Gillam falsely billed insurers hundreds of thousands of dollars for alcohol and drug treatment and counseling, mental health treatment, and group and individual psychotherapy purportedly rendered to multiple individuals. Those individuals did not receive the services billed, and several were not Dunamis clients.

This case is the product of an investigation by the Federal Bureau of Investigation and the Office of Personnel Management Office of Inspector General. Assistant U.S. Attorney Vincente A. Tennerelli is prosecuting the case.

If convicted, Gillam faces a maximum statutory penalty of 20 years in prison and a $250,000 fine. Any sentence, however, would be determined at the discretion of the court after consideration of any applicable statutory factors and the Federal Sentencing Guidelines, which take into account a number of variables. The charges are only allegations; the defendant is presumed innocent until and unless proven guilty beyond a reasonable doubt.

Topic(s): 
Health Care Fraud
Press Release Number: 
1:19-cr-080-LJO
Updated April 25, 2019