A Glendale doctor has been convicted on federal charges for submitting over $45 million in fraudulent Medicare claims for Botox injections that were either medically unnecessary or never provided. The U.S. Department of Justice announced the verdict on Monday.
Details of the Fraud
Violetta Mailyan, 45, operated Healthy Way Medical Center in Glendale. She was found guilty of nine counts of wire fraud and three counts of obstructing a criminal investigation into health care offenses.
According to Assistant Attorney General Colin McDonald, Mailyan falsely diagnosed patients, fraudulently billed Medicare for Botox injections while she was on lavish vacations, and attempted to deceive federal agents with fake records.
Fabricated Records and Unnecessary Treatments
Mailyan altered medical records to mislead investigators. The clinic billed Medicare for Botox injections that were not medically necessary and were never provided. Some claims were made for dates when Mailyan was traveling to Cabo, Mexico; Maui, Hawaii; Las Vegas; Pennsylvania; and New York. Other injections were billed on days when the clinic was closed or when the patient was incarcerated in federal prison.
Medicare only reimburses Botox injections for documented chronic migraine cases. However, Mailyan billed for thousands of injections that were never given, were purely cosmetic, or were for patients without a referral for migraine treatment.
Social Media and Luxury Purchases
On social media, Mailyan described herself as a "BOTOX FILLER NONSURGICAL NOSE COSMETIC DOCTOR." She used millions from the fraud to fund luxury vacations and purchase collectibles, including a $3,000 painting of Ludwig I, crown prince of Bavaria, and a $12,000 17th-century crossbow.
Obstruction of Justice
To conceal the fraud, Mailyan fabricated patient medical records and consent forms, backdating claims to before patients even contacted her clinic.
Sentencing
Mailyan faces up to 20 years in prison for each wire fraud count and five years for each obstruction count. A sentencing date has not yet been scheduled.
