A surgeon who was granted a license to exercise in Iowa previous calendar year has been denied the chance to invoice Medicare for his solutions due to a number of felony convictions tied to tax evasion.
Federal records exhibit that past calendar year, Dr. Edward Joseph Silvio Picardi applied to the Facilities for Medicare & Medicaid Expert services for re-enrollment as a accredited treatment supplier in the Medicare technique. A CMS hearing officer denied that software, which led to an attraction to an administrative regulation decide.
In his ruling on the make a difference, Administrative Regulation Judge Keith W. Sickendick famous that in 2012, Picardi was convicted by a South Dakota jury of 13 felony counts of profits tax evasion, getting ready untrue tax returns, and failing to continue to keep or disclose documents linked to international fiscal transactions.
Picardi’s conviction was dependent on allegations that he had hid his earnings from his South Dakota surgical apply. Prosecutors alleged Picardi experienced routed his earnings via an elaborate internet of corporate entities structured less than the legal guidelines of Eire, Hungary, Cyprus, Guernsey and the Isle of Person, with the cash eventually deposited into accounts he managed as a result of a New Zealand trust and a company set up for him in Nevis, a Caribbean island.
As a result of individuals offshore transactions, Picardi allegedly averted paying at minimum $1,150,920 in taxes.
Court docket information indicate that in an email to a lawyer who was facilitating the transactions, Picardi wrote, “I feel we have to have to go back to the commencing and remember why we set all this up. My most important fascination is to lower my tax payments … Remember to never overlook that my intermediate-phrase options are to make my household which may well be all around $500,000 and my prolonged-phrase ideas are to devote all my revenue and die comfortably but lousy.” Picardi allegedly included a postscript to the electronic mail that explained, “There will be no file of this letter in my laptop or computer nor data files.”
Picardi was sentenced to 60 months in jail and paid around $2 million in again taxes, penalties, fascination, courtroom fees and civil fines.
At the time, U.S. Attorney Brendan V. Johnson mentioned, “The lesson need to be pretty very clear: No make a difference how elaborate your system, and no subject what you do for a dwelling, if you evade spending your good share of taxes, you will land in federal prison.”
As element of his charm of his conviction, Picardi alleged the trial choose was prejudiced from him and had referred to him as “Mr. Picardi” fairly than “Dr. Picardi.” His attractiveness was denied.
Picardi served 38 months in prison before his release, and subsequently regained his licenses to practice medication in South Dakota, Nebraska and Ohio. Last June, the Iowa Board of Medication accredited his application to follow in Iowa.
Having said that, Picardi instructed CMS very last 12 months that even though several insurers experienced authorised him as an in-community provider, those people approvals would be withdrawn should he be denied enrollment in Medicare.
In ruling against Picardi, Sickendick wrote, “I have no authority to substitute my judgment for that of the CMS listening to officer if the undisputed specifics constitute a basis for denial of enrollment in Medicare, which they do.”
Sickendick upheld the hearing officer’s selection, citing federal regulations that permit for denial when a medical provider has, within just the earlier 10 decades, been convicted of a felony. He famous that tax evasion is particularly outlined as a single of the offenses that can direct to denial or enrollment in Medicare, a taxpayer-funded method.
The ruling was issued late last calendar year but was only just lately printed by the U.S. Office of Wellness and Human Companies.