|
Former Manhattan Cosmetic Surgery Clinic Owner Extradited
from Canada Pleads Guilty in Manhattan Federal Court to
Defrauding Health Insurance Companies of More Than $900,000
PREET BHARARA, the United States Attorney for the
Southern District of New York, announced that ARTHUR KISSEL,
a/k/a "Arthur Froom," a former cosmetic surgery clinic owner,
pleaded guilty today in Manhattan federal court to a scheme to
defraud health insurance companies of more than $900,000.
According to the Indictment to which KISSEL pleaded
guilty; the evidence at the 2000 trial of KISSEL's wife, SONIA
LAFONTAINE, in the case; and statements made during KISSEL's
September 2008 bail hearing and today's guilty plea proceeding
before United States District Judge DENNY CHIN:
KISSEL and LAFONTAINE owned and operated LaFontaine
Rish Medical Associates, a cosmetic surgery clinic located at 315
West 57 Street in Manhattan. LAFONTAINE—who had no medical th
license and was not acting under a physician's supervision—performed procedures which were billed as having been performed
by licensed physicians. KISSEL and LAFONTAINE's clinic also
billed cosmetic procedures, such as "tummy-tucks" and
liposuction, in the guise of medically necessary procedures, such
as hernia repairs and lesion removals. They also submitted
claims to insurance companies for procedures that were never
performed, and exaggerated insurance claims by increasing the
number and complexity of procedures that were actually performed.
KISSEL and LAFONTAINE were originally indicted in March
1998. At that time, KISSEL was in Canada where he and his wife
ran another cosmetic surgery clinic. LAFONTAINE was arrested in
the United States in 1998 and was found guilty on all charges on
July 12, 2000, following a six-week jury trial. She was
ultimately sentenced to ten years in prison. The United States
initiated extradition proceedings against KISSEL in 2000, which
resulted in his August 2008 return from Canada on these charges.
KISSEL, 55, pleaded guilty today to one count of
conspiracy to commit mail fraud and health care fraud, and one
count of mail fraud. He faces a maximum sentence of five years in
prison on each count; a maximum fine of the greater of $250,000
or twice the gross gain or loss resulting from the crime on each
count; and forfeiture of the proceeds of his crimes. KISSEL is
scheduled to be sentenced by Judge CHIN on December 15, 2009 at
2:30 p.m.
Mr. BHARARA praised the outstanding investigative work
of the United States Postal Inspection Service and the Federal
Bureau of Investigation in this case.
This case is being handled by the Office's Major Crimes
Unit. Assistant United States Attorney ROBIN W. MOREY is in
charge of the prosecution.
Press Releases | New York Home
|
