Feds file indictments in Ludington healthcare kickback scheme
Posted: 01.24.2012 at 5:27 PM
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LUDINGTON -- 8 people have been indicted in connection with an illegal healthcare "kickback scheme.

The United States District Court filed an indictment today against Babubhai Rathod, aka "Dr. Bob," of Ingham County and 7 of his employees.

Court papers say Rathod is the owner of numerous medical offices and home healthcare companies in Northern Michigan including Lakeshore Spine and Pain and U-S Rehabilitation Services both in Ludington.

The indictment claims the group conspired to get rich by paying and receiving kickbacks for referring Medicare and Medicaid patients for physical therapy and home healthcare services that were submitted to the government for payment.