Criminal Investigative Updates

Tronown Thomas, of Spring, Texas, has been convicted of conspiracy to pay healthcare kickbacks. Thomas, a licensed pharmacist, owned and operated Rayford ACP Pharmacy, and paid over $2 million in kickbacks to the owner of a Houston clinic in exchange for referrals of patients who had been prescribed high-reimbursement compounded medications. Thomas subsequently billed VA and the Department of Labor’s Office of Workers’ Compensation Programs for the prescriptions. The VA OIG, Department of Labor OIG, US Postal Service OIG, FBI, and Department of War Defense Criminal Investigative Service investigated this case.

Veloxis Pharmaceuticals, Inc. (Veloxis), a drug manufacturer based in Cary, North Carolina, has agreed to pay over $46 million to resolve criminal and civil allegations that it paid kickbacks to induce prescriptions and purchases of Envarsus XR (Envarsus), the company’s kidney transplant immunosuppression drug. The investigation revealed that Veloxis conspired to commit violations of the federal Anti-Kickback Statute by paying for lavish meals, alcohol, and luxury resort stays, to induce healthcare professionals to recommend or prescribe Envarsus. This is the largest Sunshine Act recovery since the law was passed in 2010. The VA OIG, FBI, Department of Health and Human Services OIG, Defense Criminal Investigative Service, Office of Personnel Management OIG, and US Postal Inspection Service investigated this case.

Aditya Humad, of Cambridge, Massachusetts, was sentenced to four months in prison and ordered to pay a $9,500 fine for conspiracy to violate the anti-kickback statute. Humad, the chief financial officer of SpineFrontier, Inc., conspired to pay and direct the payment of over $540,000 in bribes to surgeons in the form of sham consulting fees for work they did not perform. He also conspired to bribe surgeons to use SpineFrontier’s products. and in turn, SpineFrontier received millions of dollars in revenue. The VA OIG, the Health and Human Services OIG, the FBI, and the US Postal Inspection Service Boston Division investigated this case.

Dana Nicole Johnson of Pittsburgh, Pennsylvania, was sentenced to one year of probation and ordered to pay more than $18,000 for Supplemental Security Income (SSI) fraud and theft of government property. Johnson applied for SSI benefits through the Social Security Administration (SSA). Investigators determined that Johnson, while receiving SSI, worked for both a home healthcare business and as a federal employee at a Veterans Affairs medical center. She concealed these wages from SSA to obtain SSI. The VA OIG and SSA OIG investigated this case.

James Bradford, of Junction City, Kansas, was found guilty of conspiracy to defraud the government and theft of public money, property, or records. Bradford defrauded more than $170,000 in caregiver benefit payments that he was not entitled to receive. Between August 2014 and July 2023, Bradford and his caregiver knowingly provided false and fraudulent statements claiming he was unable to provide himself with basic care, such as medication management, organizing financial affairs, and transportation. However, from May 2016 until approximately 2025, Bradford worked for the federal government at the US General Services Administration (GSA) as a project manager in Topeka. The VA OIG and GSA OIG investigated this case.