- The Washington Times - Friday, December 22, 2006

The chief executive of a District-based mental-health organization whose Porsche was seized in a fraud probe has pleaded guilty to bilking the city government for services he never provided.

Ricardo F. Henry, 47, founder of Insight Therapeutic Services Inc., admitted submitting phony Medicaid claims for nearly a year after he stopped treating one patient.

The 2001 Porsche 911, which cost more than $110,000, was among the personal assets Henry bought with the money, authorities said.

The “defendant cared greatly for and about the Porsche,” Assistant U.S. Attorney Thomas E. Zeno stated in a recent court filing. “He took immaculate care of it and drove it rarely to protect its value.”

Henry also was a regular at the dealership where he purchased the Porsche, Mr. Zeno noted.

According to federal sentencing guidelines, Henry, who pleaded guilty Dec. 12 in federal court in the District, will face up to 27 months in federal prison. He will be sentenced in April.

Henry had also been charged with bankruptcy fraud, but prosecutors dropped the charge under the plea deal.

Prosecutors filed the charge after a trustee in Henry’s personal bankruptcy case said he hid assets from creditors. Under the plea deal, Henry agreed to give up the Porsche, $9,000 in cash and $10,000 in savings bonds.

Henry declared personal bankruptcy last year. His debts were discharged in January on the grounds he had no assets to pay off creditors.

But the case was reopened in May after the bankruptcy trustee learned federal authorities had uncovered undisclosed assets during the Medicaid fraud investigation.

An auditor for the U.S. attorney’s office found that about 80 percent of the hundreds of Medicaid claims submitted by Henry from 1999 to 2002 were false, according to court records. Prosecutors also said Henry lied about having a doctorate degree.

Henry’s clinic, based in the 700 block of 15th Street Northwest, received about $500,000 from the city’s Medicaid program in 2000 and 2001, prosecutors said. Medicaid is a health care program for the poor funded jointly by the District and federal government.

In the bankruptcy petition, Henry last year reported having less than $20,000 in total assets, the most valuable of which was a 1999 Chevrolet Tracker. He listed his occupation as unemployed and valued his stock in Insight Therapeutic at $1.

Copyright © 2018 The Washington Times, LLC. Click here for reprint permission.

The Washington Times Comment Policy

The Washington Times is switching its third-party commenting system from Disqus to Spot.IM. You will need to either create an account with Spot.im or if you wish to use your Disqus account look under the Conversation for the link "Have a Disqus Account?". Please read our Comment Policy before commenting.


Click to Read More

Click to Hide