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flag Arizona couple sentenced to 15.5 and 14 years for $1.2B Medicare fraud via fake wound grafts.

flag Alexandra Gehrke and Jeffrey King, Arizona wound graft company owners, were sentenced to 15.5 and 14 years in prison for a $1.2 billion Medicare fraud scheme from 2022 to 2024. flag They orchestrated a nationwide operation that billed federal programs for medically unnecessary grafts, often applied to non-existent wounds or terminally ill patients, using kickbacks from a distributor. flag Over $960 million was submitted to Medicare, TRICARE, and CHAMPVA, with $615 million paid. flag Gehrke received over $279 million in illegal payments, King’s company $130 million. flag Assets seized included $97 million in cash, luxury vehicles, and precious metals. flag Both pleaded guilty to health care and wire fraud, ordered to pay over $1.2 billion in restitution, and face civil settlements of $279.9 million and $30 million, respectively. flag The case was initiated by whistleblowers under the False Claims Act.

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