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Texas man admits to $50M scheme to defraud military insurer

October 18, 2017

DALLAS (AP) — A Dallas man has admitted in federal court that he participated in a scheme to defraud a military insurance program out of more than $50 million over a two-year period.

Thirty-eight-year-old Andrew Joseph Baumiller pleaded guilty Tuesday to conspiracy to commit health care fraud.

He admitted his involvement in a conspiracy to defraud Tricare by submitting fraudulent claims for medically unnecessary prescription compounded medications.

Authorities say Baumiller was president of a Dallas compounding pharmacy who worked with others in providing illegal kickbacks in exchange for filling prescriptions.

Baumiller is the first to plead guilty in the case. Eleven other defendants face trial next year.

Baumiller is scheduled to be sentenced in February and faces a maximum prison term of 10 years.

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