A Texas doctor has admitted his involvement in a fraudulent scheme where he played a part in defrauding $5.5 million from the sale of over-the-counter (OTC) COVID-19 tests.
According to court documents, Dr. Mark Mazzare, aged 57 and residing in Tyler, was found to have purchased Medicare beneficiary identifiers (BINs) to fraudulently bill Medicare for OTC COVID-19 test kits. These kits were often sent to beneficiaries who had not requested them. To cover up his actions, Mazzare entered into a deceptive agreement with a supposed marketer, disguising the purchase of BINs as “lead packages.” These packages included both BINs and fabricated audio recordings that falsely portrayed beneficiaries requesting the OTC COVID-19 tests. Regardless of whether beneficiaries had actually requested or required the tests, Mazzare had them shipped to those whose BINs he had purchased. Between November 2022 and June 2023, Mazzare submitted over $5.5 million in claims for medically unnecessary and ineligible OTC COVID-19 tests. Medicare ultimately paid approximately $3.44 million for these fraudulent claims.
Mazzare admitted guilt for conspiring to defraud the United States and for engaging in the illegal purchase, sale, and distribution of Medicare beneficiary identification numbers. If convicted, he could face up to five years in prison. A federal district court judge will schedule a sentencing hearing to determine the appropriate punishment, taking into account the U.S. Sentencing Guidelines and other relevant factors.
Principal Deputy Assistant Attorney General Nicole M. Argentieri, who leads the Justice Department’s Criminal Division, along with U.S. Attorney Damien M. Diggs for the Eastern District of Texas, Special Agent in Charge Jason E. Meadows of the Department of Health and Human Services Office of Inspector General (HHS-OIG) Dallas Regional Office, and Inspector-in-Charge Kai Pickens of the U.S. Postal Inspection Service (USPIS) Fort Worth Division, jointly made the announcement.
The case is being investigated by HHS-OIG and USPIS, with valuable support from the Texas Attorney General’s Medicaid Fraud Control Unit.
The case is being prosecuted by Assistant Chief Brynn Schiess of the Criminal Division’s Fraud Section and Assistant U.S. Attorney Robert Austin Wells for the Eastern District of Texas.
The Health Care Fraud Strike Force Program, led by the Fraud Section of the Criminal Division, is at the forefront of the fight against health care fraud. Operating through nine strike forces across 27 federal districts, the program has successfully prosecuted over 5,400 defendants.
These individuals collectively billed federal health care programs and private insurers for a staggering $27 billion. To further strengthen the battle against health care fraud, the Centers for Medicare & Medicaid Services, in collaboration with HHS-OIG, are actively holding providers accountable for their involvement in fraudulent schemes. For more information, visit www.justice.gov/criminal-fraud/health-care-fraud-unit.