WellCare: Ex-Execs Should Pay $365 Million
Attorneys for WellCare Health Plans want the company’s convicted executives to pay $365 million in restitution, according to the Tampa Bay Times.
The documents, filed in federal court on April 16, say WellCare’s 2011 Medicaid fraud indictment was the result of the actions of a few company executives, and they should pay the penalty.
In June, a federal jury convicted former WellCare executives Todd Farha, Paul Behrens and William Kale on two counts of health care fraud for submitting false expenditure reports to the state Medicaid program, the Times reports. Another former executive, Peter E. Clay, was also convicted of making false statements to federal agents.
WellCare paid the executives $134 million in compensation, $80 million to settle corporate fraud charges and another $137 million to settle a civil suit by the government, according to the Times. Sentencing for the former executives is set for May 19.