Albany, NY – New York State Inspector General Catherine Leahy Scott recently announced that a central New York orthopedic surgeon was sentenced for running an ongoing scheme that defrauded the Workers’ Compensation system by nearly $87,000.
Dr. Gregory B. Shankman, of Clinton, was sentenced in Oneida County Court for his previous guilty plea to two counts of Offering a False Instrument for Filing in the Second Degree. At sentencing, Shankman surrendered his license to practice medicine and paid full restitution of $86,896. He was sentenced to a one year conditional discharge.
An investigation by Inspector General Leahy Scott found Shankman, who maintained offices on Genesee Street in Utica, defrauded the Workers’ Compensation system by certifying he was overseeing claimant medical exams at his Utica office when he was instead traveling in western New York, out of state, and even out of the country. On multiple occasions, based on the investigation, Shankman was performing Workers’ Compensation medical examinations in offices across upstate and western New York regions while also billing for examinations conducted simultaneously at his Utica office, where he was required to be under State law.
“This former doctor enriched himself by practicing fraud instead of medicine,” said Inspector General Leahy Scott. “His criminal acts enabled him to travel extensively and vacation abroad while shunning the most basic requirements of his job. I will continue to use all resources at my disposal to protect the integrity of the Workers’ Compensation system and pursue anyone who commits fraud against it.”
The investigation found that Shankman was not in his Utica offices on more than 150 separate days between January 2015 and August 2017 while certifying he was at the office each of those days overseeing multiple Workers’ Compensation exams. On many of the days when he indicated he was performing exams at his offices in Utica, he was in fact performing other exams in offices near Buffalo, was out of State, and even traveling in Iceland in the spring of 2016. As such, Shankman systematically submitted false bills for medical services rendered by a Workers’ Compensation medical provider to the State Insurance Fund, the County of Oneida and other insurance carriers, third party administrators, and self-insured entities.
Inspector General Leahy Scott thanked Oneida County District Attorney Scott D. McNamara and his office for assisting with the investigation and for prosecuting this matter.
Source: NY Inspector General