A Mechanicsburg doctor who owns two medical facilities has been indicted by a federal grand jury in Harrisburg on charges of health care fraud and money laundering.
The grand jury indictment is the second returned against Dr. Timothy Clark, who was indicted June 14 on charges he embezzled funds from his employees' pension fund, a case still pending in federal court.
Clark, 43, is a medical doctor and pulmonologist and sole owner of Central Pennsylvania Pulmonary Associates (CPPA) and the Sleep Disorder Centers of Central Pennsylvania, according to U.S. Attorney Peter J. Smith.
The indictment alleges that from December 2007 through September 2008, while Clark was providing critical care services to patients of Holy Spirit Hospital, he intentionally inflated the amount of time health care providers he employed spent with each patient, Smith said.
Clark thereby fraudulently inflating health insurance claims he submitted to Medicare, Highmark and Capital Blue Cross. The dollar amount of the fraudulent claims allegedly exceeded $500,000, Smith said.
In the indictment's six money laundering counts, Clark is charged with allegedly transferring approximately $103,000 obtained through the health care fraud to CPPA payroll and money market accounts, according to Smith.
If convicted, he faces up to 10 years in prison and a fine of $250,000.