The son of a former co-owner of a New Jersey pharmacy has pleaded guilty to his role in a multimillion-dollar kickback scheme and defrauding the IRS, acting U.S. Attorney Rachael A. Honig announced Thursday.
Alex Fleyshmakher admitted to paying doctors and doctors’ employees to steer prescriptions to the now-closed Prime Aid pharmacies in Union City and New York.
Fleyshmakher also admitted to concealing millions of dollars in insurance reimbursement checks between 2011 and 2018 by cashing them at Brooklyn check-cashing businesses or depositing the checks into Canadian bank accounts before moving the funds to American accounts he owned and controlled.
Authorities said that the prescriptions from just one New Jersey medical practice steered $24.8 million in Medicare and Medicaid payments to Prime Aid in Union City.
The charges to which Fleyshmakher pleaded each carry a maximum penalty of five years in prison and a $250,000 fine. Sentencing is scheduled for May 27.
Honig said that other conspirators in the kickback scheme included Fleyshmakher’s father, Igor Fleyshmakher, of Holmdel, who previously pleaded guilty for his role in the conspiracy; and Eduard Shtindler, of Paramus, who previously pleaded guilty in a related kickback conspiracy. Both sentencings are pending.