Dallas Father, Son Sentenced to Prison for Roles in $27 Million Fraudulent Hearing Aids Claims

A father and son from Dallas convicted of fraud and identity theft in a $27 million scheme involving false hearing aid insurance claims on behalf of American Airlines employees received their prison sentences Wednesday.Terry Lynn Anderson, 69, received an eight-year sentence in federal prison and was ordered to pay nearly $13.7 million in restitution to Blue Cross and Blue Shield of Texas. He also must forfeit a 300-acre ranch in Valley Mills, three vehicles and more than $3.1 million seized from nine financial accounts. Rocky Freeland Anderson, 38, was sentenced to seven years and ordered to pay more than $8.4 million to Blue Cross.The duo was convicted last year on multiple counts of health care fraud and aggravated identity theft after a 10-day jury trial before U.S. Chief District Judge Barbara M.G. Lynn.An FBI investigation determined the Andersons defrauded Blue Cross by submitting claims on behalf of Fort Worth-based American Airlines employees for hearing aids that were not needed and often never given to patients, U.S. attorney Erin Nealy Cox said. The claims were submitted through Anderson Optical & Hearing Aids Center, a business owned by the Anderson family with locations in Arlington and Bedford."In flagrant disregard for the law, these defendants submitted claims for equipment they knew patients neither needed nor wanted, just to line their own pockets," Cox said. "This sort of fraud impacts healthcare costs for patients who actually need coverage, and we will continue to prioritize these cases."The Andersons promised a free pair of high-end sunglasses or eyeglasses in exchange for free hearing tests, the investigation determined. After the tests, they told patients that they had slight to mild hearing loss and required them to sign an order for hearing aids before they received the free glasses. Hearing aids were promised to them at no cost, and that the Andersons' company would waive any copayments, coinsurance or deductibles. The father and son also offered patients $100 gift cards in exchange for referring family members and coworkers for free hearing tests, Cox said.  Continue reading...

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