A Beaver County woman pled guilty on Wednesday to a nearly $1.3 million health-care fraud scheme.
Jacqueline Pelphrey, 50, of Freedom, renounced her right to an indictment and pled guilty in federal court in Hartford, Connecticut, according to the Department of Justice.
Prosecutors allege that Pelphrey, formerly of Manchester, Conn., defrauded Medicaid and other health insurance plans of $1.29 million while owning and managing Women’s Health Resources Inc.
According to the DOJ, the business sold post-mastectomy items such as breast prosthesis and filed claims with health care benefit programs on their behalf.
Around August 2018, Pelphrey allegedly started submitting claims for items that consumers had never ordered or received.
Pelphrey may face up to ten years in jail for the health-care fraud charge.
She is currently free on a $10,000 bail and is expected to be sentenced on December 29 in Bridgeport, Connecticut.
The inquiry was carried out by the US Department of Health and Human Services, the Office of the Inspector General, and the FBI.
This case is handled by the Department of Justice’s National Fraud Enforcement Division. The Fraud Division, led by Vise President J.D. Vance, seeks to combat fraud, waste, and abuse in federal programs.
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