Dr. Gil Lederman: Did He Commit Medicare Fraud?

Dr. Gil Lederman
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Dr. Gil Lederman faced accusations of medicare fraud and other shady practices. Find out if those allegations were true or not in this review.

The cancer treatment lawsuit against Dr. Gil Lederman has been accused of healthcare fraud. Let’s delve into the narrative and focus on its key components.

The late Beatle George Harrison was treated by Dr. Gil Lederman, the former director of radiation oncology at Staten Island University Hospital. Dr. Gil Lederman has agreed to pay $2.5 million and confesses no guilt in order to resolve claims of Medicare fraud related to his billings.

When George Harrison’s widow sued Dr. Gil Lederman for pushing a guitar in the guitarist’s face after radiation treatment and demanded Harrison sign it, Dr. Gil Lederman became infamous for accusations that he put his “self-interest” above the rights of patients.

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What happened between Dr. Gil Lederman & his patient George Harrison?

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A New York City doctor, Dr. Gil Lederman who gained fame for requesting George Harrison, a member of the Beatles, to sign a guitar on his deathbed, consented to settle a Medicare fraud lawsuit in November 2014. 

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According to Dr. Gil Lederman, who agreed to pay $2.35 million to resolve the False Claims Act claims, the allegations are a “legal nightmare,” but he has pledged to keep practicing medicine despite almost losing his Medicare privileges as a result of the fraud investigation.

Dr. Gil Lederman was told to pay the price for misunderstanding claims between 1996 and 2003 in order to profit from millions of dollars in reimbursements. Dr. Gil Lederman gained notoriety for pressuring late legend George Harrison to sign a guitar as he was dying of cancer.

What exactly does medical system fraud entail?

Healthcare fraud refers to a situation in which patients’ confidence has been violated by healthcare management or professionals who have used deception to their detriment. One of the many components of deception is when the truth is distorted to conceal, deceive, or control the truth.

According to the lawsuit, which was brought by the widow of a patient who had treatment from Dr. Gil Lederman, the doctor exploited the patient’s experimental cancer treatments and then requested payment in violation of the Medicare policies in effect at the time. The whistleblower is anticipated to earn $326,250 as well as $175,000 to cover her legal costs as compensation for her willingness to come forward.

Historical Background of the Dr. Gil Lederman Case

Dr. Gil Lederman used to be regular on the radio in New York City and has been a well-known figure in the city’s oncology community for years. 

Dr. Gil Lederman frequently used experimental drugs and therapy options for patients whose cancer did not respond to conventional treatment procedures while serving as the director of the oncology division at Staten Island University Hospital from the 1990s to the early 2000s. 

Actually, Dr. Gil Lederman played a major role in promoting the hospital’s Stereotactic Body Radiosurgery program, which boasted a “95 percent success rate.”

The whistleblower said in his complaint that Dr. Lederman and the hospital lured “desperate cancer patients as well as relatives in order to unfairly enrich themselves” when less expensive therapies may have been available.

If you have sensitive information or have had a personal experience with Dr. Gil Lederman but want to stay anonymous, then submit it using our secured form. You can connect with our expert contributors and help in finding the truth. We never share your information with 3rd parties.

The whistleblower’s case claims that Dr. Lederman and the medical center utilized false and exaggerated advertising strategies to entice “desperate cancer patients and those closest to them in order to unfairly enrich themselves” when less expensive therapies may have been available.

Doctors were only permitted to submit claims to Medicare for investigational or experimental therapies, such as stereotactic body radiosurgery, for cancers that originated above the neck (such as brain tumors), according to the regulations in effect at the time. 

The False Claims Act was triggered when such therapies were billed for cancer that was present in other parts of the body and was deemed to be outside the parameters of Medicare. 

Additionally, Dr. Lederman is charged with upcoding or incorrectly coding specific services in an effort to maximize revenue from government healthcare programs. The accusations are related to the care given to at least 300 cancer patients during that time.

In 2008, the hospital consented to contribute $25 million to the $88.9 million settlement reached in response to complaints that it had overcharged patients on Medicare, Medicaid, and TRICARE.

Loretta Lynch, the US attorney general, commented on the situation and said that Medicare, the biggest insurer in the country, continues to be at risk from providers who misrepresent their services, whether it’s to get more money or hide the fact that a treatment was labeled experimental. 

We will continue to severely pursue those service providers in response who prioritize their own self-interest over their responsibility to truthfully disclose the services they offer to Medicare recipients.

In 2004, Ms. Ryan’s attorney, Richard Reich of the New York law firm Lifflander & Reich LLP, filed the qui tam lawsuit against the hospital and Lederman in federal district court in Brooklyn, claiming that their Stereotactic Body Radiosurgery cancer treatment was ineligible for reimbursement under the federal Medicare program and that through dishonest billing practices, the hospital and Lederman caused the Medicare program to wrongfully pay them millions of dollars. Following a review of the Ryan allegations, the US then entered the SIUH and Lederman case as an intervenor. 

Before Lederman reached a settlement with the government and Ms. Ryan, Judge John Gleeson of the U.S. District Court, Eastern District of New York, found that Lederman’s claims for repayment for body radiosurgery from Medicare were legally and factually false because

1) the services he claimed weren’t covered by Medicare, and 2) Lederman distorted the nature of the services for which he was charging.

In his statement, Mr. Reich stated that “Dr. Lederman attempted to take advantage of the Medicare program and collected millions of dollars in reimbursements to which he had no right at the expense of susceptible cancer patients as well as the general public. 

The instance of this case should deter selfish organizations and medical facilities from fraudulently diverting funds from the Medicare program while enticing informants to come forward to safeguard the integrity of public healthcare programs.

Dr. Lederman has experienced legal misconduct in addition to the False Claims Act settlement. In January 2004, he reached a $10 million settlement with the Harrison family for the aforementioned request for a deathbed signature.

 In May 2004, a New York City jury determined he was at least largely to blame for the medical misconduct that resulted in the death of another patient.

The estates of 20 Italian nationals sued Dr. Lederman for malpractice in 2010, claiming that Loretta Lynch, the US attorney general, commented on the situation and said:

Medicare, the biggest insurer in the country, continues to be at risk from providers who falsify their services, whether it’s to get more money or hide the fact that the therapy was labeled experimental.

 We will continue to severely pursue those service providers in response who prioritize their own self-interest over their responsibility to truthfully disclose the services they offer to Medicare recipients.

 the deceased patients were deceived into going to Staten Island University Hospital in the first place by promises of cancer treatment. The sickness claimed the lives of all 20 sufferers.

Dr. Gil Lederman of Staten Island, who was formerly sued by the estate of George Harrison for invading the late Beatle’s medical privacy, appeared in court once more today to defend the diagnosis of an Italian woman who passed away following his specialized radiation therapy.

Dr. Gil Lederman is on trial in Brooklyn federal court for allegedly treating a 34-year-old Sicilian mother of three for pancreatic cancer without performing any tests to confirm that she had the disease. 

Dr. Gil Lederman settled the 2004 lawsuit brought against him by Harrison’s family in which they accused him of pressuring the dying rock legend into signing his son’s guitar.

The former director of radiology at Staten Island University Hospital, Lederman, was charged with boasting a 97 percent success rate for his specialized “Fractionated Stereotactic Radiosurgery” in loud infomercials that ran on US TV and radio as well as Italian TV, according to Bruce Behrins, the attorney for the family of Giuseppa Bono.

Salvatore Conte, an acquaintance of Lederman’s in Italy who Behrens claimed pretended to be a doctor despite having no medical training, screened patients at the Staten Island University Hospital’s Naples location and pocketed a share of the $17,500 upfront fee, Behrens claimed in his opening statement.

He was a commission-based salesman, not a physician or an oncologist, according to Behrins.

Like the former Beatle, Bono flew to Staten Island in the hopes of finding a miracle cure. Giuseppe, Bono’s spouse, was forced to sell his three fishing boats in Sicily to pay for the therapy.

However, according to Bono’s lawyers, medical professionals treated her with radiation on Conte’s word without ever doing a biopsy to confirm her cancer.

Dr. Philip Silverman, another Staten Island radiologist and accused in the case, testified today, saying, that he was under the impression that he was a doctor. He didn’t learn that he wasn’t an MD until much later. He assumed there were additional doctors participating in the procedure.

One year after Lederman’s treatment, Bono passed away on July 24, 2003.

Dr. Louis Harrison, an expert witness for the plaintiff, stated that it was “extremely likely” that this therapy made her illness worse and was a factor in her demise.

Ten Italian defendants who were part of the initial lawsuit’s 2004 filing claimed Dr. Gil Lederman had wronged them all. All but Bono’s malpractice and pain and suffering claims were rejected due to procedural errors and lack of merit.

In his opening statement, Lederman’s attorney, Peter Kopff, stated that Bono refused to permit a biopsy and that additional tests conducted on Dr. Gil Lederman revealed findings that were compatible with pancreatic cancer.

He claimed that following the doctor’s therapy in Staten Island, Bono’s energy level increased and she even quit using painkillers.

Harrison’s estate eventually agreed to a settlement with Dr. Gil Lederman, and the guitar with Harrison’s signature had to be destroyed. By speaking to the media about Harrison’s health, he violated the doctor-patient privilege and was penalized by a state medical board, which fined him $5,000.

Another filed case against Dr. Gil Lederman (2013)

But this is not the end of the matter; a patient has filed a lawsuit against Dr. Gil Lederman based on a distinct claim involving additional doctors.

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Case Facts: 

A benign tumor called an acoustic neuroma, which takes up a nerve of the auditory canal, was administered radiation as part of fractionated stereotactic radiosurgery on August 7, 2002, on plaintiff Linda Schrank, a 49-year-old travel agent.

 Dr. Gil Lederman, an oncologist, carried out the treatment at Richmond County’s Staten Island University Hospital. Schrank’s tumor had not lessened, an MRI scan in April 2004 showed. 

In October 2004, a second MRI scan was completed. The tumor did not appear to be getting smaller according to the test results. Schrank was diagnosed with hydrocephalus in 2005, which is a condition in which the brain retains an excessive amount of cerebrospinal fluid.

Her tumor, which had not lessened, was the root of the problem. She underwent microsurgeries to have parts of the tumor removed. Dr. John Mangiardi, a neurosurgeon at the Cabrini Medical Center in Manhattan, carried out the operations. According to Schrank, the effects of the tumor were not alleviated by the procedures. 

She also stated that the left half of her face is paralyzed as a result. Mangiardi, his practice, John R. Mangiardi, M.D., F.A.C.S., P.C., Staten Island University Hospital, and Cabrini Medical Center were all named in a lawsuit filed by Schrank against Dr. Gil Lederman, his practices, Radiosurgery New York, LLC and Dr. Gil Lederman, M.D., P.C., Mangiardi, and their practices. 

Schrank claimed that both Dr. Gil Lederman and Mangiardi were negligent in their treatment of her neuroma, that their mistakes amounted to malpractice, and that Staten Island University Hospital and Lederman’s practices were jointly responsible for Mangiardi’s and Lederman’s actions. She also claimed that Cabrini Medical Center and Lederman’s practice were jointly responsible for Lederman’s actions.

According to Schrank’s legal representative, Lederman failed to adequately treat the tumor’s ongoing growth. He argued that the outcomes of the MRI scans should have precipitated a right-away referral to a neurologist. 

The specialist oncologist for the defense admitted that fractionated stereotactic radiosurgery is an emerging method for treating acoustic neuromas, but he insisted that it is employed by a number of top healthcare organizations. 

In his opinion, Dr. Gil Lederman carried out the treatment correctly. Additionally, the defense attorney disputed the assertion made by Schrank’s attorney that Dr. Gil Lederman failed to keep an adequate eye on Schrank’s tumor following the conclusion of the procedure. Defense attorneys argued that growth that was mistakenly interpreted as swelling was induced by radiosurgery. Additionally, he asserted that the operations Mangiardi carried out were the cause of Schrank’s paralysis.

The jury concluded that Dr. Gil Lederman deviated from a recognized medical standard of care. It was found that Schrank’s referral to a neurosurgeon was not timely. The jury determined that the plaintiffs were awarded $2,486,171.60 in damages.

What is Stereotactic Radiosurgery?

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Let’s now talk about a therapy that Dr. Gil Lederman associated with stereotactic radiosurgery.

Cancer, epilepsy, trigeminal neuralgia, and arteriovenous malformations are just a few of the disorders in the brain and spine that can be treated with stereotactic radiosurgery, an extremely precise kind of therapeutic radiation.

The following are two significant elements that have a significant impact on stereotactic radiosurgery’s efficacy:

High levels of radiation – In this therapy, the body’s dead cells are destroyed using high doses of radiation. Radiation is directed at the damaged body portion for this reason. This treatment is more effective because it uses a higher dose of radiation than other therapies do.

Low levels of radiation – Compared to other therapies, this treatment employs a high dose of radiation. Low exposure shields the body’s healthy cells. The recovery rate is accelerated by adding more healthy cells and eliminating malignant cells.

I’d like to call your attention to a few words and legislation related to this matter in order to clarify it for you. Your doubts will be clarified by this more so than by what I discussed in the passage above.

What is Medicare?

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A health insurance program funded by the government is called Medicare. For American citizens 65 years of age and older or those with a disability, it is managed by the Social Security Administration. Federal funding and funding for the program are provided by the US government.

What is Medicare Fraud?

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Those who willfully act to defraud funds from the US government are said to be engaging in Medicare fraud, which can refer to an individual, business, or major enterprise. 

A medical professional that bills Medicare for clinically unnecessary operations or even treatments that were never carried out is known as “phantom billing,” which is the most prevalent type of Medicare fraud.

Prevention of Medicare Fraud

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The government finds it incredibly challenging to identify the early stages of the activity, making the fight against illegal Medicare billing schemes nearly intractable. 

Whistleblower Protections and Medicare Fraud ClaimXBVZC

A Latin phrase that begins with the words “Qui Tam” describes the plaintiff as “one who sues as much for the state as for himself or herself.”

The Federal Civil False Claims Act contains a clause that enables an ordinary person to bring a lawsuit on behalf of the United States government, accusing government contractors and other organizations that receive or use government cash of fraud. 

Supported by amendments made by Congress in 1986, the law has given private persons with independent and firsthand knowledge of fraud, such as Medicare fraud or financial institution fraud, a tool to hold government contractors and other fraudsters accountable.

Whistleblower tactics frequently used are

  • medicare fraud,
  • fraud by a defense contractor, and
  • further forms of fraud against the federal or state governments

A very successful and powerful instrument in the fight against fraud in government programs and procurement, qui tam cases have been and continue to be.

Conclusion 

The last thing I want to mention is that, despite having more than 20 years of expertise, Dr. Gil Lederman’s work may be judged by his performance and found to be wholly dishonest. 

And we might conclude that he is merely gambling with the lives of his patients in order to establish his reputation & fame.

What do you think about this fraudulent doctor that is using his patients to receive bogus treatment for his own benefit?

Dr. Gil Lederman: Did He Commit Medicare Fraud?
Dr. Gil Lederman: Did He Commit Medicare Fraud?

12 Comments
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  1. I listen to his radio show almost every day while driving. His approach is very inspiring for those affected by disease. All of his presentations are about success, even some advanced into other areas. My life experience tells me that when it has spread and metastasized into stage 4 the lifespan is 6 mos to 2 years maybe longer. I am not in medicine but would like to know his success rate is better than the super duper hospitals.

  2. Any doctor that exhibits dishonest treatments and billing practices should not be licensed to
    practice medicine in any state.

  3. This is horrifying. A patient and their family are already going through a lot and doctors like him are not even bothered about it. They just care about their money. Seriously?

  4. It’s extremely sad to read this article. No one should be treated in such a way. He was on his death bed and this doctor only cared about getting an autograph so that his reputation could increase and he gets to deceive more and more innocent patients?

  5. If a huge celebrity gets treated this way then we can not even think what a normal person has to go through. He deserves to get a very harsh punishment. Is this how he treated a dying person? Is he even a human?

  6. What a cancer patient goes through we can not at all even imagine that and on top of that if the doctor who you can only trust at this moment also doesn’t care about your health but rather gives more importance to earning more money. This is the worst a patient can go through.

  7. Media should focus more on such issues. So that the masses could get aware and choose the right doctor for their treatment. Someone who is ethical and cares about his patient’s health and well-being.

  8. This article is helpful and will surely help a lot of people in knowing the true reality of doctors like him. They will surely research well before going to any doctor. This is important that such news reaches the masses.

  9. These fraud doctors use patients’ fear as their weapon to use it against them. A cancer patient is already living in fear of losing their life and doctors like him use it as an opportunity to fulfill their greed. It feels like everything has become about money these days and people have just forgotten about humanity.

  10. I agree with this article. These doctors indeed make their patients buy expensive treatments which is not even necessary. A normal treatment that doesn’t cost much is also good and we do not need to buy expensive ones.

  11. This is an amazing article everything has been explained well. It’s sad to know that humans have just lost their humanity and have reached this low level to fulfill their needs.

  12. This article is completely accurate. My friend was also undergoing cancer treatment, and the doctor recommended very expensive therapies that were not necessary, but he and his family were already worried and didn’t want his life to be put at risk for the sake of money. As a result, he agreed.

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