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For Immediate Release:  
For Further Information Contact:
July 20, 2005

Office of The Attorney General
- Peter C. Harvey, Attorney General
Division of Criminal Justice
- Vaughn L. McKoy, Director
Office of the Insurance Fraud Prosecutor
- Greta Gooden Brown, Insurance Fraud Prosecutor

 

Rachel Sacharow
609-984-1936

 

Middlesex County Man Ordered to Pay More than $135,000 for Role in Medicaid Scam

TRENTON - Division of Criminal Justice Director Vaughn L. McKoy announced that a Middlesex County man has been ordered to pay $136,000 in fines and restitution for his role in a Medicaid fraud scam.

According to Insurance Fraud Prosecutor Greta Gooden-Brown, Andrew Stoveken, 55, Westover Way, Edison, Middlesex County, owner and operator of Acoustics Hearing Aid Center, Easton Avenue, New Brunswick, Middlesex County, was ordered by Middlesex County Superior Court Judge Frederick P. DeVesa to pay $136,000 in fines and restitution and to serve one year probation. Stoveken was sentenced after pleading guilty to a criminal Accusation filed by the Division of Criminal Justice - Office of Insurance Fraud Prosecutor. The Accusation charged Stoveken with Health Care Claims Fraud. Stoveken paid the $136,000 penalty at sentencing.

At the April 15 guilty plea hearing, Stoveken admitted that between February 2001 and August 2003, he submitted thousands of dollars in false health care claims to the Medicaid Program representing that he had provided 32 hearing aid batteries to Medicaid recipients. An investigation by the Division of Criminal Justice - Office of the Insurance Fraud Prosecutor determined that Stoveken provided only 16 batteries to Medicaid patients but billed the Medicaid Program as if he had provided 32 batteries. In addition, Stoveken admitted that he permitted a person who was not a Medicaid provider to bill the Medicaid Program utilizing Stoveken’s Medicaid provider number. The investigation further determined that the person paid Stoveken to use his provider number, and Stoveken billed Medicaid for $126,000 in services the other person apparently provided.

State Investigator Christine Barclay and Deputy Attorney General Erik W. Daab were assigned to the investigation into this case. DAG Daab represented the Division of Criminal Justice at the July 15 sentencing.

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