News (Media Awareness Project) - US SC: Doctor Guilty In OxyContin Case |
Title: | US SC: Doctor Guilty In OxyContin Case |
Published On: | 2003-01-08 |
Source: | Sun News (Myrtle Beach, SC) |
Fetched On: | 2008-01-21 14:55:17 |
DOCTOR GUILTY IN OXYCONTIN CASE
Man Who Owned MB Clinic To Be Sentenced For 3 Counts
A former Myrtle Beach doctor admitted Tuesday he committed health care
fraud, laundered money and illegally distributed narcotics from his clinic
between 1997 and 2001.
Dr. D. Michael Woodward, 45, pleaded guilty in U.S. District Court to one
count each of money laundering, conspiracy to distribute Oxycodone, the
primary ingredient in OxyContin, and health care fraud. He could face a
maximum sentence of 20 years for each charge and fines totaling about $3.25
million. He had faced a 93-count indictment.
The plea agreement Tuesday came after two days of discussions, his lawyer
William D. Watkins of Columbia said during the plea hearing.
In exchange for the guilty plea, Woodward agreed to forfeit his assets,
including $640,288 from the sale of the clinic, 11 guns and boxes of
ammunition. He also must pay more than $704,000 in restitution to Medicare,
Medicaid, Blue Cross and TriCare.
Woodward owned Myrtle Beach Comprehensive Care & Pain Management Clinic,
where authorities say he and others sold controlled substances outside the
usual course of medical practices and forced unnecessary tests on patients
to submit fraudulent claims to Medicare and other health care plans.
A 13-page plea agreement also requires that Woodward be truthful with
prosecutors and give them substantial assistance in their investigation of
the case, or the deal becomes null and void.
Assistant U.S. Attorney William E. Day II said Tuesday that Woodward knew
or should have known his victims were vulnerable.
"This case is extremely unusual," Day said. "I know of no other case in the
country with this many people charged with these types of offenses."
Woodward was one of seven Myrtle Beach doctors charged in a conspiracy to
illegally distribute narcotics, such as OxyContin.
The plea agreement refers to Woodward as a leader in this criminal activity.
Day said between June 1997 and June 2001, Woodward and the others operated
the clinic to illegally distribute Oxycodone, Hydrocodone, Diazepam,
Alprazolam and Ambien outside the usual course of medical practice.
Also facing charges are Michael D. Jackson, Deborah B. Sutherland, Deborah
S. Bordeaux, Ricardo U. Alerre, Windy B. Suggs, Thomas P. Devlin and
Venkata R. Pulivarthi. Suggs was an employee at the clinic. Another
suspect, Benjamin R. Moore, committed suicide after pleading guilty in the
case. The defendants allegedly gave narcotics to patients after giving them
little or no physical exam.
Some were kept on the medication for years, Day said.
Woodward also designed advertisements to attract people to the clinic so he
could distribute narcotics, Day said.
In addition, he said, Woodward was behind a scheme to bill Medicare and
other third-party insurers for unnecessary tests.
Woodward will be sentenced after a presentence report is completed by the
U.S. Probation Office. Trial for Woodward and the remaining defendants is
set for Jan. 27.
Man Who Owned MB Clinic To Be Sentenced For 3 Counts
A former Myrtle Beach doctor admitted Tuesday he committed health care
fraud, laundered money and illegally distributed narcotics from his clinic
between 1997 and 2001.
Dr. D. Michael Woodward, 45, pleaded guilty in U.S. District Court to one
count each of money laundering, conspiracy to distribute Oxycodone, the
primary ingredient in OxyContin, and health care fraud. He could face a
maximum sentence of 20 years for each charge and fines totaling about $3.25
million. He had faced a 93-count indictment.
The plea agreement Tuesday came after two days of discussions, his lawyer
William D. Watkins of Columbia said during the plea hearing.
In exchange for the guilty plea, Woodward agreed to forfeit his assets,
including $640,288 from the sale of the clinic, 11 guns and boxes of
ammunition. He also must pay more than $704,000 in restitution to Medicare,
Medicaid, Blue Cross and TriCare.
Woodward owned Myrtle Beach Comprehensive Care & Pain Management Clinic,
where authorities say he and others sold controlled substances outside the
usual course of medical practices and forced unnecessary tests on patients
to submit fraudulent claims to Medicare and other health care plans.
A 13-page plea agreement also requires that Woodward be truthful with
prosecutors and give them substantial assistance in their investigation of
the case, or the deal becomes null and void.
Assistant U.S. Attorney William E. Day II said Tuesday that Woodward knew
or should have known his victims were vulnerable.
"This case is extremely unusual," Day said. "I know of no other case in the
country with this many people charged with these types of offenses."
Woodward was one of seven Myrtle Beach doctors charged in a conspiracy to
illegally distribute narcotics, such as OxyContin.
The plea agreement refers to Woodward as a leader in this criminal activity.
Day said between June 1997 and June 2001, Woodward and the others operated
the clinic to illegally distribute Oxycodone, Hydrocodone, Diazepam,
Alprazolam and Ambien outside the usual course of medical practice.
Also facing charges are Michael D. Jackson, Deborah B. Sutherland, Deborah
S. Bordeaux, Ricardo U. Alerre, Windy B. Suggs, Thomas P. Devlin and
Venkata R. Pulivarthi. Suggs was an employee at the clinic. Another
suspect, Benjamin R. Moore, committed suicide after pleading guilty in the
case. The defendants allegedly gave narcotics to patients after giving them
little or no physical exam.
Some were kept on the medication for years, Day said.
Woodward also designed advertisements to attract people to the clinic so he
could distribute narcotics, Day said.
In addition, he said, Woodward was behind a scheme to bill Medicare and
other third-party insurers for unnecessary tests.
Woodward will be sentenced after a presentence report is completed by the
U.S. Probation Office. Trial for Woodward and the remaining defendants is
set for Jan. 27.
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