Bulldog4life
17-06-2014, 11:46 AM
Federal and state investigators have gathered evidence implicating Stephen Dank in wide-scale Medicare fraud and forgery, a development that could see the former Essendon and Cronulla sports scientist face criminal charges and a possible jail term.
Victoria Police detectives and Medicare investigators have interviewed witnesses and obtained documentary evidence that allegedly shows Dank forged and photocopied doctors' signatures to refer patients to pathology clinics in Sydney and Melbourne.
Essendon players are among those whose blood tests may have been ordered as part of the alleged Medicare racket, which may have involved the rorting of tens of thousands of dollars in taxpayer funds.
Fairfax Media can also reveal that AFL club presidents have criticised Essendon chairman Paul Little for his response to the Australian Sports Anti-Doping Authority decision last week to issue show-cause notices to 34 serving and former Bombers players.
One of the presidents, West Coast's Alan Cransberg, said Essendon's move to challenge in the Federal Court the legality of the ASADA inquiry meant the "circus" would drag on for up to two years.
"At some stage you have got to take your right whack," he said.
The police and Medicare investigation into Dank may ensure he faces charges for some of his alleged misconduct. ASADA's ability to interview and penalise Dank has been lessened due to the fact he no longer works for any club under ASADA's jurisdiction.Dank told Fairfax Media he was aware of the medical fraud investigation but said it was without foundation. ''Everything was done under the full direction of the doctors involved and I personally gained no financial benefit,'' he said, stressing that all the doctors he worked with were happy with his conduct.
But Fairfax Media can reveal one witness assisting authorities is a doctor who once worked closely with Dank and is believed to be furious about the alleged fraud.
Police have been told that the allegedly fraudulent scheme Dank devised "was meant to be part of a program to help get peptide prescriptions to patients and to comply with TGA regulations''.
The Medicare racket allegedly involves two doctors in Sydney and laboratories in Melbourne and Sydney, including one that has been operating without a licence in another potential breach of law.
It is understood investigators have uncovered what they consider to be evidence of Dank's involvement in Commonwealth fraud and state Crimes Act charges, including creating false documents and rorting of the bulk-billing scheme. The offences carry penalties of jail time and large fines.
In a statement compiled late last year, one witness told Medicare investigators that a Melbourne doctor's signature had been ''mass produced without [the doctor's] knowledge'', allowing Dank and his business partner to refer dozens of patients for blood tests at pathology clinics. According to the witness statement, ''many of these tests have been bulk-billed''.
Medicare and Victorian detectives are also investigating allegations that some of the pathology labs involved may have had a ''special arrangement'' with Dank's business in connection to the fraudulent scheme. ''The fact that they persisted in bulk-billing makes me suspicious that there might be kickbacks involved,'' a witness statement alleges.
But internal Essendon emails obtained by Fairfax Media last year showed the club's two medicos, Bruce Reid and Brendan De Morton, were concerned about the way Dank planned to bill Medicare for services related to the supplements program.
Essendon is understood to have reported its concerns to Medicare after the club ''self-reported'' to ASADA last year.
In an October 16, 2012, email, Dr De Morton told then fitness boss Dean Robinson of his and Dr Reid's anger at a decision by Dank to order dozens of heart checks on players and bill taxpayers for the cost.
''I understood there was some 'special arrangement' and both Bruce and I had made it clear to SD [Dank] that this was considered screening and we would be investigated by Medicare if we even considered ordering 46 ECGs (let alone, as it turned out, 44 Echos as well),'' Dr De Morton wrote.
Read more: http://www.theage.com.au/afl/afl-news/victoria-police-investigate-stephen-dank-over-possible-medicare-fraud-20140616-3a8nk.html#ixzz34rAwMLrj
Victoria Police detectives and Medicare investigators have interviewed witnesses and obtained documentary evidence that allegedly shows Dank forged and photocopied doctors' signatures to refer patients to pathology clinics in Sydney and Melbourne.
Essendon players are among those whose blood tests may have been ordered as part of the alleged Medicare racket, which may have involved the rorting of tens of thousands of dollars in taxpayer funds.
Fairfax Media can also reveal that AFL club presidents have criticised Essendon chairman Paul Little for his response to the Australian Sports Anti-Doping Authority decision last week to issue show-cause notices to 34 serving and former Bombers players.
One of the presidents, West Coast's Alan Cransberg, said Essendon's move to challenge in the Federal Court the legality of the ASADA inquiry meant the "circus" would drag on for up to two years.
"At some stage you have got to take your right whack," he said.
The police and Medicare investigation into Dank may ensure he faces charges for some of his alleged misconduct. ASADA's ability to interview and penalise Dank has been lessened due to the fact he no longer works for any club under ASADA's jurisdiction.Dank told Fairfax Media he was aware of the medical fraud investigation but said it was without foundation. ''Everything was done under the full direction of the doctors involved and I personally gained no financial benefit,'' he said, stressing that all the doctors he worked with were happy with his conduct.
But Fairfax Media can reveal one witness assisting authorities is a doctor who once worked closely with Dank and is believed to be furious about the alleged fraud.
Police have been told that the allegedly fraudulent scheme Dank devised "was meant to be part of a program to help get peptide prescriptions to patients and to comply with TGA regulations''.
The Medicare racket allegedly involves two doctors in Sydney and laboratories in Melbourne and Sydney, including one that has been operating without a licence in another potential breach of law.
It is understood investigators have uncovered what they consider to be evidence of Dank's involvement in Commonwealth fraud and state Crimes Act charges, including creating false documents and rorting of the bulk-billing scheme. The offences carry penalties of jail time and large fines.
In a statement compiled late last year, one witness told Medicare investigators that a Melbourne doctor's signature had been ''mass produced without [the doctor's] knowledge'', allowing Dank and his business partner to refer dozens of patients for blood tests at pathology clinics. According to the witness statement, ''many of these tests have been bulk-billed''.
Medicare and Victorian detectives are also investigating allegations that some of the pathology labs involved may have had a ''special arrangement'' with Dank's business in connection to the fraudulent scheme. ''The fact that they persisted in bulk-billing makes me suspicious that there might be kickbacks involved,'' a witness statement alleges.
But internal Essendon emails obtained by Fairfax Media last year showed the club's two medicos, Bruce Reid and Brendan De Morton, were concerned about the way Dank planned to bill Medicare for services related to the supplements program.
Essendon is understood to have reported its concerns to Medicare after the club ''self-reported'' to ASADA last year.
In an October 16, 2012, email, Dr De Morton told then fitness boss Dean Robinson of his and Dr Reid's anger at a decision by Dank to order dozens of heart checks on players and bill taxpayers for the cost.
''I understood there was some 'special arrangement' and both Bruce and I had made it clear to SD [Dank] that this was considered screening and we would be investigated by Medicare if we even considered ordering 46 ECGs (let alone, as it turned out, 44 Echos as well),'' Dr De Morton wrote.
Read more: http://www.theage.com.au/afl/afl-news/victoria-police-investigate-stephen-dank-over-possible-medicare-fraud-20140616-3a8nk.html#ixzz34rAwMLrj