Big boy restaurant fraud case

Kazkaz, who owns Centre HRW, allegedly bribed Ziad Khalel, a patient recruiter, to refer Medicare patients to his center even when medically unnecessary, according to a complaint by the U. Department of Justice. Often, gina ortega patients filled out Centre HRW sign-in sheets and Kazkaz billed Medicare even though no services were provided.

Mohammed Kazkaz mixed his love of fraud and his love of burgers into a scheme that maybe neither health care professionals nor fast-food joints have ever seen before. Kazkaz owned and controlled Centre HRW, a psychotherapy agency in Farmington Hills, Michigan whose sole purpose was to submit false and fraudulent claims to Medicare for psychotherapy services that were not provided nor eligible for reimbursement to begin with. Kazkaz offered and provided kickbacks and bribes to Ziad Khalel, who was a patient recruiter, as an inducement to refer Medicare beneficiaries to Centre HRW for psychotherapy services, even though such services were medically unnecessary and were never rendered. That was the easy part. Then Kazkaz needed to hide the money.

Big boy restaurant fraud case

Mohamed Kazkaz, 54, will be sentenced Thursday by U. District Judge Gershwin Drain in Detroit, capping what initially appeared to be a mundane Medicare fraud case in a region ravaged by scams involving entrepreneurs and medical professionals who victimized the nation's healthcare program. Prosecutors want Kazkaz sentenced to months in federal prison, saying he cheated Medicare by diverting money that could have been spent providing healthcare services to people nationwide. Attorney Regina McCullough wrote in the government's sentencing memorandum. Kazkaz's lawyer, Kenneth Chadwell, requested a sentence as short as three years in prison, noting his client is a Syrian immigrant with an otherwise clean record, a husband and father of five who has accepted responsibility for committing a nonviolent crime. Federal agents scrambled to recover money from Kazkaz during the investigation and froze money in Big Boy's accounts. The restaurant chain's executives said in April that the moves prompted the company to bounce checks, face utility shutoffs, default on payments to landlords and left restaurant officials unable to buy groceries. At one point, Big Boy executives were in talks about awarding Kazkaz his own franchise, the lawyer said. A civil fight over the money is ongoing. Big Boy lawyer Walter Piszczatowski could not be reached for comment Tuesday.

Mohammed Kazkaz mixed his love of fraud and his love of burgers into a scheme that maybe neither health care professionals nor fast-food joints have ever seen before, big boy restaurant fraud case. Confirm Password. A new worker conducting a internal audit got credit-card transaction records from the processing company that did not jibe with Hudson's records.

Some of the money has been frozen during an ongoing hunt for cash that has shed light on the finances of a nearly year-old restaurant chain and revealed the latest crackdown on health care fraud in Metro Detroit. Federal court records and a transcript reveal that amid the government's actions, the company is bouncing checks, facing utility shutoffs, defaulting on payments to landlords and has been unable to buy groceries for its franchises. During an April 11 hearing, U. So I'm trying to figure out how big of an enterprise this is," Drain said. There were Big Boys in every neighborhood. But I don't see them very often.

Criminal charges have not been filed against Hudson. Hudson did not respond to multiple calls at his home or on his cell phone and was not at his house Tuesday when a reporter visited. A woman at his home who identified herself as his mother said he wasn't home and declined comment. The company said it discovered the alleged theft in late December after an internal audit revealed discrepancies. It also disclosed findings of an internal investigation to the U.

Big boy restaurant fraud case

Some of the money has been frozen during an ongoing hunt for cash that has shed light on the finances of a nearly year-old restaurant chain and revealed the latest crackdown on health care fraud in Metro Detroit. Federal court records and a transcript reveal that amid the government's actions, the company is bouncing checks, facing utility shutoffs, defaulting on payments to landlords and has been unable to buy groceries for its franchises. During an April 11 hearing, U. So I'm trying to figure out how big of an enterprise this is," Drain said.

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Through its lawsuit, Frisch's plans to subpoena Horseshoe Casino video and other records to determine how much Hudson lost there. Though not accused of wrongdoing, Hudson's wife, Pamela, an outside business partner, Wade Pyles and two outside businesses Hudson was partner in are named in the lawsuit as having benefited from diverted funds. Sign up now for free access to this content Enter your details below and select your area s of interest to receive Law Real Estate Authority daily newsletters. Rajendra Bothra , and three others were acquitted after being accused in a multimillion-dollar case. Criminal charges have not been filed against Hudson. Frisch's stock dropped 4. Contact Us. No Thanks Sign up now. In a January meeting, Frisch's officials say Hudson admitted to auditors and a private investigator he took the money — he lost track of how much. At one point, Big Boy executives were in talks about awarding Kazkaz his own franchise, the lawyer said. Frisch's expects theft by some employees. Securities and Exchange Commission should the agency decide to review or investigate the incident. The chain has seen more investor interest since when it sold off its unsuccessful Golden Corral operations. Confirm Password.

Mohamed Kazkaz, 54, will be sentenced Thursday by U.

The FBI remains committed to working with our law enforcement partners to ensure that those who attempt to personally profit through these false claims and money laundering schemes are held accountable. He is accused of participating in a conspiracy that lasted from January to early this year that the government says involved defrauding Medicare with claims for services that were unnecessary and ineligible for reimbursement. At the corporate offices, Hudson was unassuming, but helpful and occasionally sent coworkers pictures of jackpots he won at the Horseshoe Casino. Already have access? Contact Us. Get Your Fraud Fix! If Hudson failed to report all his income to the Internal Revenue Service, the tax agency would be first in line to collect from recouped money. District Judge Gershwin Drain in Detroit, capping what initially appeared to be a mundane Medicare fraud case in a region ravaged by scams involving entrepreneurs and medical professionals who victimized the nation's healthcare program. Frisch's: Top exec stole millions. It fires workers every week for stealing — usually a cashier with sticky fingers or wait staff that neglects to charge friends. Maier is skeptical the company will recover any of the missing money, but doesn't believe it will have to restate results. Prosecutors fought back, saying the request to access money is premature and risks exposing an ongoing criminal investigation. There is no company named "National Restaurant Chain 1" in the state's business directory, and Big Boy's identity remained a secret until an April 11 court hearing during which Jones mentioned Big Boy by name, according to a court transcript reviewed by The News on Thursday.