Earlier today, Andrew Barrett, a New York pharmacist who operated pharmacies in Bronx, Queens, and Rockland counties, was sentenced to 43 months’ imprisonment to be followed by three years of supervised release. As part of the sentence, he was ordered to forfeit $2.7 million in criminal proceeds, pay $2.7 million in restitution to Medicare and Medicaid, and pay $736,000 in restitution to the Internal Revenue Service.
The sentence was announced by Robert L. Capers, United States Attorney for the Eastern District of New York. Mr. Capers expressed his grateful appreciation to the agencies that led the government’s investigation: the Federal Bureau of Investigation, New York Field Office; the Department of Health and Human Services, Office of the Inspector General, New York Office (HHS-OIG); and the Internal Revenue Service, Criminal Investigation, New York (IRS-CI). Mr. Capers also thanked the New York Office of the Medicaid Inspector General (OMIG) for its cooperation and assistance in the case.
On May 25, 2016, Barrett pleaded guilty to committing a health care fraud scheme and filing false tax returns. From January 2011 to December 2012, he fraudulently billed Medicare and Medicaid approximately $2.7 million for prescription medications that he never dispensed to patients. Barrett used some of these proceeds to buy pharmaceutical products for his pharmacies. He also falsely claimed over $2 million in personal expenses as business expenses on his tax returns. Through this scheme, he caused a tax loss of $736,192.80.