Louisiana investors might have heard about an ongoing federal investigation of securities fraud based on insider trading involving the sale of The Shaw Group in 2012. Federal prosecutors have filed a federal securities fraud charge against a 10th man, the brother-in-law of a vice president at the company. He also faces a charge of securities fraud conspiracy.
A 56-year-old Baton Rouge psychiatrist was convicted of Medicare fraud Aug. 25 and will be spending seven years in prison. He has also been ordered to pay $43.5 million in restitution and forfeit all proceeds that were generated as a result of his fraudulent scheme that totaled more than $258 million. According to a Department of Justice news release, the psychiatrist had been admitting mentally ill patients for inappropriate programs, after which he would re-certify their appropriateness, allowing him to continue billing Medicare.
A Louisiana mother who was attempting to ensure that her daughter received federal monetary assistance for college has received her sentence from a federal court judge. The woman, who admitted that she committed fraud in connection with her daughter's aid application, was given a period of probation for her crime. The mother has already made significant financial amends for her crime.
A licensed professional may be hit with two proceedings at one time where criminal activity is alleged. There may be a license suspension proceeding by a state administrative agency along with a simultaneous criminal prosecution in state court. That's happening with respect to a Louisiana insurance agent who is accused of fraud by the Louisiana Department of Insurance Fraud Division, including misappropriation of insurance premium funds and dishonest business practices.