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Press Release

Chicago Chiropractor Indicted for Allegedly Billing $10 Million to Medicare and Private Insurers for Nonexistent Treatment

For Immediate Release
U.S. Attorney's Office, Northern District of Illinois

CHICAGO — A Chicago chiropractor with a clinic in the West Lawn neighborhood has been indicted on federal fraud charges for allegedly submitting at least $10 million in bogus claims to Medicare and private insurers.

HENRY POSADA submitted the fraudulent claims for purported physical therapy and chiropractic services that were never provided, according to the indictment. In some instances Posada was out of the state on the dates he claimed to have provided chiropractic services, while other times he used his patients’ names without their knowledge to create wholly fictitious claim forms, the indictment states. From 2008 to 2016, Posada submitted at least $10 million in fraudulent claims to Medicare and private insurers, causing those programs to pay at least $5.1 million to Posada and his clinic, Spine Clinics of America S.C., which does business as Associated Back Care and Rehabilitation. The clinic is located in the 4300 block of West 63rd Street in Chicago.

The indictment was returned March 16, 2017, in federal court in Chicago. It charges Posada, 54, of Clarendon Hills, with 18 counts of health care fraud. He pleaded not guilty at his arraignment Tuesday afternoon before U.S. District Judge Edmond E. Chang. A status hearing was scheduled for May 30, 2017.

The indictment was announced by Joel R. Levin, Acting United States Attorney for the Northern District of Illinois; Michael J. Anderson, Special Agent in Charge of the Chicago Office of the Federal Bureau of Investigation; and Lamont Pugh III, Special Agent-in-Charge of the Chicago Regional Office of the U.S. Department of Health and Human Services Office of Inspector General. The U.S. Office of Personnel Management’s Office of Inspector General provided valuable assistance.

The indictment seeks forfeiture of the $5.1 million, as well as $850,000 in cashier checks, a 2013 Lexus LX 570 automobile, and a property in Watseka, Ill.

The public is reminded that an indictment is not evidence of guilt. The defendant is presumed innocent and is entitled to a fair trial at which the government has the burden of proving guilt beyond a reasonable doubt.

Health care fraud is punishable by up to ten years in prison. If convicted, the Court must impose a reasonable sentence under federal statutes and the advisory United States Sentencing Guidelines.

The government is represented by Assistant U.S. Attorney Nathalina Hudson.

Updated March 22, 2017

Health Care Fraud