Two San Fernando Valley residents on Wednesday were sentenced to 12 years behind bars after being found guilty of running a multimillion-dollar fraud that billed Medicare for medicines never delivered.
Aleksandr Suris, 51, and Maxim Sverdlov, 45, owners of Royal Care Pharmacy in Sherman Oaks, were held jointly responsible for more than $11.8 million in restitution to Medicare; Suris was ordered to pay more than $17,000 to CIGNA.
The first payment is due in six months when the two are to pay $500,000 each.
Suris and Sverdlov were found guilty in August of health care fraud and money laundering, according to a statement from the Justice Department. Fake invoices were created by an unnamed co-conspirator to make it appear that Royal Care purchased medicines it billed Medicare for. Proceeds were laundered through the co-conspirator.
U.S. District Judge James Otero presided over the case. Organizations involved in the investigation include: the Health and Human Services Department, the FBI, the IRS, California Department of Justice, the Medicare Fraud Strike Force and U.S. Attorney’s Office for the Central District of California.