Health Care Clinic and Home Health Owners Convicted of Fraud | USAO-SDTX

HOUSTON – Two individuals charged with health care fraud and embezzlement have been ordered to federal prison, U.S. Attorney Jennifer B.

A federal jury found Francis Ekene, 71, of Sugar Land, guilty of all charges during a three-day trial.

Today, U.S. District Judge Sim Lake imposed a 120-month sentence with three years of supervised release. In handing down the prison term, Judge Lake said it was important to serve the sentence despite his health problems.

Also convicted at trial was Alfred Olotin Alathan, 63, formerly of Houston and now living in Fulshear. He was previously sentenced to 120 months in prison.

Alathan owns Colony Home Health Services and Ekene owns Milton Medical Clinic, both Houston-based businesses.

At trial, the hearing heard, Allatan paid employers to use patient information to pay for home health services, whether they wanted it or not. Consumers testified that they did not need home health services when they were billed by health care providers.

Additional testimony shows that a doctor signed care forms at the Milton Clinic when patients were not under his care.

Former employees Susana Bermudez and Rita Kpoti Smith testified. Bermudez admitted that she and Smith both operated the clinics and that Alatan was the leader of the program. Both Alatan and Ekene advise Bermudez and Smith, who help execute the plan in both offices.

At the trial, defense attorneys tried to convince the jury that they were not involved in the day-to-day operations and did not know that the services they provided were unnecessary and fraudulent.

Allatan and Ekene will be determined in the near future and allowed to be held voluntarily in a US prison facility.

Bermudez and Smith, both 55 and Houston residents, previously pleaded guilty to acting as co-conspirators in the scheme. Bermudez is currently serving 30 months in federal prison, while Smith is serving a 60-month sentence.

The Department of Health and Human Services – Office of Inspector General conducted the investigation with assistance from the FBI. United States Attorneys Tina Ansari and Grace Murphy prosecuted the case with Assistant Attorney General Judith Cardona.