Two arraigned in $500K Medicaid kickback scheme

BOSTON (MyFoxBoston.com) -- A doctor from Milton is facing several charges in a $590,000 Medicaid kickback scheme.

Dr. Richard Ng pleaded not guilty on Thursday to charges that include 11 counts of illegal prescribing, nine counts of Medicaid false claims, and seven counts of Medicaid excess charges.

Attorney General Martha Coakley's office alleges that Dr. Ng illegally prescribed a drug used to treat opiate addiction while working as director at a drug abuse clinic in Brighton. The 54-year-old ran the clinic between 2006 and 2008. Dr. Ng is accused of prescribing Suboxone to nine patients that were not taking it and were instead continuing to use illegal drugs such as heroin. When two of his patients lost their insurance Dr. Ng reportedly wrote out prescriptions in fake patient names.

The attorney general's office further alleges that Dr. Ng was treating more patients than legally permitted and boosted his annual earnings to over $575,000 in salary and bonuses. He is accused of illegally charging MassHealth patients a $100 "new patient registration fee" payable via cash or a check made out to him.

Dr. Ng's office manager, 43-year-old Renee Andrews, of Hudson, N.H., is also facing charges for her alleged connection to the scheme. Andrews is accused of making Medicaid kickback arrangements with Franey Medical Lab, Inc. in Hyannis and East Side Clinical Laboratory in East Providence, R.I.

Administrators at Franey Medical Lab are also facing charges in the scheme. Kathleen Franey-Lopes, 35, of Marstons Mills, is scheduled for arraignment on April 16. The 35-year-old is the daughter of the lab's owner and accused of being the primary contact with Dr. Ng's office.

Both Dr. Ng and Andrews were released on personal recognizance Thursday under the condition that they surrender their passports.

Cox Media Group