PEORIA, Ill. – A federal grand jury on Tuesday issued more indictments against Reditus Labs founder and former CEO Aaron Rossi.
The 40-year-old Rossi faces six counts of healthcare fraud, one count of mail fraud, and four counts of wire fraud.
The counts are in relation to Rossi allegedly defrauding the state of Illinois, along with public and private health insurance companies, of hundreds of thousands of dollars during the COVID-19 pandemic.
The indictments allege that Rossi established policies and procedures at Reditus that directly benefited him and defrauded healthcare providers, as early as October 2020. The services provided were allegedly mischaracterized in order to receive payment for services not actually rendered.
Reditus began processing COVID-19 PCR tests at the start of the pandemic in early 2020 that were paid for by programs, such as Medicare, Medicaid, Blue Cross Blue Shield of Illinois, Healthlink, and the Health Resources & Service Administration’s Uninsured Program.
Rossi also had a flat-rate contract with the state of Illinois with Reditus to provide PCR testing. Reditus reportedly could only invoice Illinois for the difference between what a patient’s healthcare coverage provided and the flat-rate. But Rossi allegedly developed a scheme to bill both the providers and the state, resulting in double payments.
Of the new charges Rossi was indicted on Tuesday, he faces up to 20 years on each mail fraud and wire fraud charge, and up to 10 years on each healthcare fraud charge, along with a $250,000 fine.
Rossi in February pleaded guilty to charges of filing false federal tax returns and taking funds from his former employer, Central Illinois Orthopedic Surgery.
Rossi is scheduled to be sentenced in that case on July 2nd.
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