A Palmdale physician pleaded not guilty this week to federal charges of receiving illegal kickbacks in exchange for home health care referrals.
Dr. Kain Kumar, 54, of Encino is facing 19 federal counts, including conspiracy, receiving illegal healthcare kickbacks and illegal distribution of prescription drugs, according to an updated indictment filed in February in Los Angeles.
Prosecutors allege that Kumar—who owned and operated medical clinics in Palmdale and elsewhere—referred Medicare beneficiaries to Star Home Health in La Verne for in-home health services between August 2012 and May 2016. Star allegedly billed the services to Medicare.
In exchange for the Medicare referrals, Star’s owners paid Kumar kickbacks of anywhere between $200 to $900 for each beneficiary, prosecutors allege.
According to the indictment, Star billed Medicare almost $9 million for home health services.
Trial is scheduled for Aug. 22 before U.S. District Judge Philip Gutierrez.