Attorney General Paxton’s Medicaid Fraud Control Unit secured a prison sentence for two Houston nurses who were paying kickbacks to marketers, patients, and a physician.
“This successful investigation and prosecution by my office highlights our unwavering commitment to protecting taxpayers and combating fraud,” said Attorney General Paxton. “As was seen in this case, we will continue to ensure that lawless individuals who exploit our health care system and steal public funding are prosecuted to the full extent of the law.”
Joseph Nwankwo, 59, of Houston, and Stacey Ajaja, 51, of Richmond, were previously convicted of conspiracy to defraud the United States and engaging in the illegal payment and receipt of healthcare kickbacks. Nwankwo was sentenced to 36 months in federal prison and Ajaja was sentenced to a 14-month term. Upon completion of their prison sentences, both individuals will serve three years of supervised release. Nwankwo is also mandated to pay $1,218,615 in restitution to Medicare, and Ajaja has been ordered to pay $238,164.
The pair, who co-owned Hefty Healthcare Services, Inc., secured patient referrals by paying illegal kickbacks to marketers and patients and then fraudulently billed Medicare for services. Nwankwo was also convicted of bribing a physician to authorize medically unnecessary home health care services.
The investigation was conducted by Sgt. Joyce Combest, Sgt. Jonathan Palacios, Investigative Auditors Darryl Middleton and Shen Wang, and Capt. Rick McCollum of Attorney General Paxton’s Medicaid Fraud Control Unit, in collaboration with the Department of Health and Human Services’ Office of Inspector General and the FBI. The case was prosecuted by Kathryn Olson of Paxton’s Medicaid Fraud Control Unit, who serves as both a Special Assistant United States Attorney and Assistant Attorney General.
In the last fiscal year, Attorney General Paxton’s Medicaid Fraud Control Unit recovered over $236 million in taxpayer funds. If you suspect Medicaid fraud or abuse, or patient neglect, please report it by visiting the Texas Attorney General’s website.