Two Frisco residents charged in massive federal health care fraud sweep

The Justice Department charged two Frisco residents among 455 defendants in a nationwide federal health care fraud sweep involving more than $6.5 billion in false claims across 56 federal districts and 45 states and territories.

Kevin Darnell Curry, 63, was charged with health-care fraud, illegal kickbacks and bribes, and monetary transactions in criminally derived property in connection with an alleged TRICARE scheme. Charging papers allege the billing covered treatments that were not provided. Court records identify Curry as a counselor and tie the case to transcranial magnetic stimulation treatments. Prosecutors also allege he spent fraud proceeds on luxury purchases, including a gold-plated Cybertruck.

Michael Ly, 52, was charged in a separate case with conspiracy to violate the Anti-Kickback Statute. Charging papers allege the scheme caused more than $73 million in fraudulent claims to be submitted to Medicare for COVID-19 test kits. Some patients received kits they never requested, including patients who were already deceased.

The Northern District of Texas charged 13 defendants in seven separate cases tied to the takedown, with more than $365 million in alleged fraudulent billing in the district. The cases ranged from TRICARE reimbursement abuse to Medicare kickback schemes.

Nationwide, the sweep led to charges against 90 doctors and other licensed medical professionals. The Centers for Medicare and Medicaid Services suspended 1,079 providers, revoked billing privileges for 1,403 providers and excluded more than 1,400 providers. Authorities also seized more than $182 million in cash, luxury vehicles, jewelry and other assets.

The takedown involved 50 state Medicaid Fraud Control Units and 48 civil monetary penalty settlements totaling more than $73 million.