Two New Jersey doctors pleaded guilty Wednesday to accepting thousands of
dollars in bribes from a laboratory company that operated a widespread kickback
scheme to win referrals, the U.S. attorney said.
Angelo Calabrese, a doctor with an office in North Arlington, and Paul Ostergaard, a doctor with an office in Pompton Plains, said they accepted the money from Biodiagnostic Laboratory Services LLC, violating the Travel Act, which forbids the use of the U.S. mail to break the law.
Parsippany-based Biodiagnostic Laboratory Services was a clinical laboratory that tested blood specimens.
The company set up shell entities to pay bribes to doctors who both sent it blood samples and ordered unnecessary tests. It then billed Medicare and private insurers, generating more than $100 million. Some of the physicians received more than $100,000 in bribes from January 2006 through April 2013, the government has said.
So far, 11 company employees, including its executives, have pleaded guilty for their roles in the scheme. Three of the employees are Monmouth County residents: Salesmen Len Rubinstein of Holmdel, Cliff Antell of Rumson, and William Dailey of Wall have pleaded guilty to bribing physicians.
Calabrese and Ostergaard pleaded guilty before U.S. District Judge Stanley R. Chesler in Newark. They are among six doctors who have pleaded guilty to accepting payments. The others are: Dennis Aponte of Cedar Grove; Claudio Dicovsky of Fort Lee; Franklin Dana Fortunato of Montville; and Frank Santangelo of Boonton.
“We are continuing to pursue those defendants, including doctors, who put personal profits ahead of patient care,” U.S. Attorney Paul Fishman said.
According to authorities:
• Calabrese, 56, of Pine Brook, received more than $130,000 from Biodiagnostic Laboratory Services between 2010 and 2013.
• Ostergaard, 72, of Pompton Plains, received more than $50,000 from the company between 2006 and 2009. He said that he noticed the company added tests he didn’t order, but he stayed silent about it, the government said.
• David McCann, 45, of Lyndhurst, a salesman for Biodiagnostic Laboratory Services, also pleaded guilty Wednesday.
Angelo Calabrese, a doctor with an office in North Arlington, and Paul Ostergaard, a doctor with an office in Pompton Plains, said they accepted the money from Biodiagnostic Laboratory Services LLC, violating the Travel Act, which forbids the use of the U.S. mail to break the law.
Parsippany-based Biodiagnostic Laboratory Services was a clinical laboratory that tested blood specimens.
The company set up shell entities to pay bribes to doctors who both sent it blood samples and ordered unnecessary tests. It then billed Medicare and private insurers, generating more than $100 million. Some of the physicians received more than $100,000 in bribes from January 2006 through April 2013, the government has said.
So far, 11 company employees, including its executives, have pleaded guilty for their roles in the scheme. Three of the employees are Monmouth County residents: Salesmen Len Rubinstein of Holmdel, Cliff Antell of Rumson, and William Dailey of Wall have pleaded guilty to bribing physicians.
Calabrese and Ostergaard pleaded guilty before U.S. District Judge Stanley R. Chesler in Newark. They are among six doctors who have pleaded guilty to accepting payments. The others are: Dennis Aponte of Cedar Grove; Claudio Dicovsky of Fort Lee; Franklin Dana Fortunato of Montville; and Frank Santangelo of Boonton.
“We are continuing to pursue those defendants, including doctors, who put personal profits ahead of patient care,” U.S. Attorney Paul Fishman said.
According to authorities:
• Calabrese, 56, of Pine Brook, received more than $130,000 from Biodiagnostic Laboratory Services between 2010 and 2013.
• Ostergaard, 72, of Pompton Plains, received more than $50,000 from the company between 2006 and 2009. He said that he noticed the company added tests he didn’t order, but he stayed silent about it, the government said.
• David McCann, 45, of Lyndhurst, a salesman for Biodiagnostic Laboratory Services, also pleaded guilty Wednesday.
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