A Cuban national residing in Florida has been sentenced to more than five years in prison for a healthcare fraud exceeding $7.6 million and aggravated identity theft, as reported by the U.S. Department of Justice. Fernando Espinosa León, aged 60, will serve a prison term of five years and ten months in a federal facility after being found guilty of defrauding Medicare through his company, Global Medical Supply Inc., as ruled by U.S. District Judge Thomas P. Barber.
The judge from the Middle District of Florida also ordered Espinosa to forfeit $4,013,148.76, which he obtained through his criminal activities, according to a DOJ statement. On December 6, 2024, Espinosa pleaded guilty to the charges against him.
Court documents reveal that to execute his scheme to defraud Medicare, Espinosa stole personal identifiable information from Medicare beneficiaries and healthcare professionals. The prosecution proved that he fraudulently billed Medicare for durable medical equipment that he claimed had been prescribed and provided.
Between June and September 2020, Espinosa hired an external billing service to file fraudulent reimbursement claims totaling more than $7.6 million. This resulted in over $4 million in profits from Medicare fraud, which were deposited into a bank account controlled by Espinosa.
The investigation into the case was conducted by the U.S. Department of Health and Human Services, the Office of Inspector General, and the U.S. Marshals Service.
In related news, a Cuban businessman residing in Hialeah attempted to flee to Cuba after being accused of laundering nearly two million dollars through a Medicare fraud scheme amounting to $41 million. Federal authorities reported that part of these funds was sent to Cuba.
Edelberto Borges Morales, 62, was apprehended by federal agents just before boarding a flight to Varadero, Matanzas, last Thursday. According to the criminal complaint filed in Miami's federal court, Borges laundered $1.9 million from a fraud involving three South Florida medical equipment companies: One-Star Professional Services Inc., Med-Union Medical Center Inc., and Vida Med Center LLC., which submitted fraudulent claims to Medicare for $41 million, billing for durable medical equipment (DME) "that was never provided."
At the start of 2024, the FBI's Miami office had over 100 fugitives listed in active Medicare fraud cases in South Florida, as reported by El Nuevo Herald in March. Collectively, they defrauded the healthcare program of hundreds of millions of dollars by submitting false claims for services like medical supplies, physical therapy, and prescription drugs.
Most of the fugitive defendants are Cuban immigrants who fled to Cuba, Mexico, the Dominican Republic, and other Spanish-speaking countries to evade federal justice.
Key Details on Cuban Medicare Fraud Cases
What was Fernando Espinosa León convicted of?
Fernando Espinosa León was convicted of defrauding Medicare of over $7.6 million and aggravated identity theft using his company, Global Medical Supply Inc.
How did the investigation into Espinosa's fraud take place?
The investigation was conducted by the U.S. Department of Health and Human Services, the Office of Inspector General, and the U.S. Marshals Service.
Who is Edelberto Borges Morales?
Edelberto Borges Morales is a Cuban businessman who was arrested for attempting to flee to Cuba after being accused of laundering nearly $2 million in a Medicare fraud scheme worth $41 million.