TEXAS
A physician based in the McAllen, Texas area was named in an indictment unsealed this week for his role in a $240 million health care fraud and international money laundering scheme, according to officials.
Jorge Zamora-Quezada, 61, of Mission, Texas, was charged in a seven-count indictment filed in the Southern District of Texas.
He was charged with one count of conspiracy to commit health care fraud, five counts of health care fraud and one count of conspiracy to commit money laundering.
“Jorge Zamora-Quezada allegedly orchestrated a massive fraud scheme that jeopardized the health and well-being of innocent children, elderly, and disabled victims,” said Acting Assistant Attorney General John P. Cronan.
Adding, “The allegations that Zamora-Quezada violated his oath to do no harm by administering unnecessary chemotherapy and other toxic medications to patients with serious diseases — including some of the most vulnerable victims imaginable — are almost beyond comprehension. The Criminal Division is committed to combatting health care fraud and protecting victims of reprehensible schemes like the one alleged in this case.”
“We take allegations of this nature very seriously,” said U.S. Attorney Ryan J. Patrick. “The prosecution of health care fraud is a high priority for the Southern District of Texas, especially when we suspect vulnerable patients have been allegedly exploited, misdiagnosed or possibly given potentially harmful medications as a means of committing that fraud.”
From 2000 through the filing of the indictment, Zamora-Quezada and his co-conspirators falsely diagnosed vulnerable patients — including the young, elderly and disabled, from the Rio Grande Valley, San Antonio, and elsewhere — with various degenerative diseases, including rheumatoid arthritis.
He and his co-conspirators then administered chemotherapy and other toxic medications to the patients based on that false diagnosis.
In addition to falsely diagnosing patients, Zamora-Quezada and his co-conspirators allegedly conducted a battery of fraudulent, repetitive, and excessive medical procedures on patients in order to increase revenue and fund Zamora-Quezada’s lavish and opulent lifestyle.
The indictment alleges that Zamora-Quezada and his co-conspirators flew in Zamora-Quezada’s million-dollar private jet or drove in his Maserati, which were both emblazoned with his initials, “ZQ,” between his offices in the Rio Grande Valley and San Antonio in order to perpetuate the fraud.
He and his co-conspirators transferred the proceeds derived from the conspiracy to purchase private jets, luxury vehicles, clothing from high-end retailers such as Louis Vuitton, and exclusive real estate located throughout the United States and Mexico.
He and his co-conspirators allegedly obstructed investigations by causing the creation of false and fictitious patient records and concealed thousands of medical records from Medicare by stashing them in an unsecured and dilapidated barn located in the Rio Grande Valley.
The indictment also alleges that Zamora-Quezada and his co-conspirators laundered the proceeds of their fraud scheme by dissipating, transforming and concealing the source and location of the fraud proceeds by investing such proceeds in commercial and residential real estate in the United States and Mexico.
Among other properties, he and his co-conspirators acquired two penthouses in Puerto Vallarta, Mexico; a condominium in Aspen, Colorado; a condominium in Punta Mita, Mexico; and multiple homes and commercial properties located throughout Texas.
He then created the false appearance of legitimate wealth and income by renting the various commercial and residential properties that he acquired to individuals and entities.
Zamora-Quezada and his co-conspirators allegedly laundered the proceeds through a casa de cambio, or money exchange house, to various accounts maintained by financial institutions in Mexico.
The indictment seeks the forfeiture of Zamora-Quezada’s personal jet, Maserati and multiple residential and commercial properties in the United States and Mexico.
“Today’s indictment is the first step in holding Dr. Zamora-Quezada accountable for his allegedly egregious criminal conduct,” said HHS-OIG Special Agent in Charge C.J. Porter. “His patients trusted him and presumed his integrity; in return, he allegedly engaged in a scheme of false diagnoses and bogus courses of treatment, and doled out prescriptions for unnecessary and harmful medications, all for his personal financial gain and with no regard for patient well-being. HHS-OIG will always pursue criminals masquerading as legitimate physicians, weed them out, and seek the harshest possible punishment, particularly when patient harm is a factor.”
Zamora-Quezada is presumed innocent unless proven guilty.