The one-time president of Edison-based Apogee Bio-Pharm was sentenced earlier this month in Newark for his role in a health care kickback conspiracy involving prescriptions for Medicare and TRICARE beneficiaries.

In August, Elan Yaish, 54, of Israel, pleaded guilty to an information charging him with conspiracy to violate the Federal Anti-Kickback statute.

Prosecutors alleged Yaish and others engaged in a scheme to pay marketing companies to direct prescriptions for expensive medications to the pharmacies. The ploy, they said, targeted Medicare and TRICARE beneficiaries to pressure them to agree to try expensive medications – such as pain, scar and eczema creams as well as migraine medications – while using telemedicine companies participating in the scheme as a connector of sorts.

“The pharmacies filled the prescriptions and sought reimbursement from federal health care benefit programs, including Medicare and TRICARE,” according to case documents and court statements released by the U.S. Attorney’s Office for the District of New Jersey. “The pharmacies, including Apogee, then paid a portion of each reimbursement to the marketing companies as a kickback.

“As a result of the scheme, Yaish and his conspirators caused a loss to Medicare and other federal health care benefit programs of over $32 million,” according to prosecutors.

On Jan. 18, U.S. District Judge Esther Salas sentenced Yaish to 36 months in prison and three years of supervised released as well as ordering restitution of $32 million.

An attorney for Yaish was not announced as of publication time.

See also:

• Owner of shuttered Skyline nursing home chain admits $38M tax fraud
• Newark hospital settles Medicare fraud allegations for $30M
• Essex real estate investor sentenced for mortgage fraud (updated)
• North Jersey brothers sentenced for roles in health care fraud scheme