Insights

Calif. Centers Used ‘Body Brokers’ In $10M Scam, BCBS Says

Written by Jeffrey C. Lynne, Esq. — Founder of Lynne Legal, P.A. Florida Bar member since 1997 (Bar No. 116556).

Calif. Centers Used 'Body Brokers' In $10M Scam, BCBS Says

Blue Cross Blue Shield of Oklahoma slammed two California recovery centers and their owners with a lawsuit Thursday, alleging they spearheaded a $10 million kickback scheme to employ “body brokers” to find Indigenous patients for substance treatment facilities, where they went to appalling lengths to stop them from leaving.

The level of fraud, according to the complaint, covers every level of the treatment cycle and “a staggering array” of overlapping conduct — including body brokering, false advertising, fraudulent enrollment and billing, cost-share waivers and illegal kickbacks — to lure patients from Oklahoma to California for treatment of Substance Abuse Disorders.

Asana Recovery Inc., Beachfront Sober Living Inc., Asana Buy Sell LLC and owners Mark Shandrow and Adam Shandrow are named as defendants in the suit, as well as Dr. Christian Small, the medical director of Asana Recovery and Jonathon Hagen, its executive director.

Patients who were in active treatment were paid by Asana staff in cash or gift cards to provide contact information leading to new clients and were also given those same incentives in return for positive reviews on Google, Yelp, and social media pages, BCBSOK alleged in the suit.

Read more at: https://www.law360.com/articles/2324013?ts_pk=04317035-4612-429e-80d5-8a2fcbc5abc9&utm_source=user-alerts&utm_medium=email&utm_campaign=tracked-search-alert&read_main=1&nlsidx=0&nlaidx=1?copied=

About the author

Jeffrey Lynne

Founder of Lynne Legal P.A. and Of Counsel to Cohen Norris Wolmer Ray Telepman Berkowitz & Cohen, focusing on complex Land Use & Zoning and Regulated Industries.

Jeffrey C. Lynne, Esq., Founder of Lynne Legal, P.A.

Jeffrey C. Lynne, Esq.

Founder · Lynne Legal, P.A. — Boca Raton, FL

Jeffrey C. Lynne is the Founder of Lynne Legal, P.A. and a Florida attorney with nearly three decades of experience focused on complex land use, zoning, and regulated industries. He represents property owners, businesses, developers, operators, and other clients in local, state, and federal zoning, permitting, licensing, regulatory, and related litigation matters. His practice includes significant work within Florida's multi-billion-dollar behavioral health industry.

Land Use & Zoning Behavioral Health Environmental & Land Use Real Estate Law Licensing & Regulatory Matters Litigation

Credentials: The Florida Bar, admitted 1997 — Bar No. 116556.

Education: University of Miami School of Law, J.D., With Honors (1997); University of Florida, With Honors (1993).

Office: 301 E. Yamato Road, Suite 4120, Boca Raton, FL 33431 · (561) 791-4368

Get in touch

Get Started

Contact us today to get started.