The Orange County Criminal Lawyer Blog
On Wednesday in Portland, Oregon a U.S. District Judge sentenced Darren Bottinelli to 46 months in federal prison followed by three years of supervised release for healthcare fraud. Bottinelli was also order to pay $3,093,918 in restitution to his victims. The purpose of his company was to put money into trust accounts for employees of his clients, who could then draw upon those monies for eligible health expenditures.
Darren Bottinelli was the sole shareholder, officer, and director of Axis, based in Portland, Oregon. His company administered employee health reimbursement and flexible spending accounts for client employers nationwide.
Some of his clients included Goodwill Industries, Job squad, Cascade Christian Services, VersAbility Resources, and Vets Securing America; which employed veterans, mentally and physically disabled adults, other vulnerable individuals, as well as government contractors and other companies who hire hourly and minimum wage contract workers.
Bottinelli repeatedly withdrew funds from these trust accounts to support his lavish lifestyle, which included high priced hotels, fine dining, private member clubs, expensive wine purchases, and first class travel.
In March of 2014, Bottinelli, without warning, closed the Axis office without communicating with his employees or his clients. As a result, more than 3,000 plan participants were unable to access their account funds. Victims reported financial devastation and were blocked from necessary medical treatment. These people suffered severe emotional trauma due to Bottinelli’s actions.
In March, 2016 Bottinelli pled guilty to one count of theft in connection with health care, admitting he stole approximately $3 million from health reimbursement accounts under management by his company.
If you or someone you love is suspected of health care fraud, please call Orange County criminal defense lawyer Staycie R. Sena at (949) 477-8088 for a consultation now.