SANTA ANA – Over the past 10 months, the Department of Justice has filed criminal charges against 10 defendants – four of whom were taken into custody Dec. 16 – for kickback schemes at substance abuse treatment facilities in Orange County.
The defendants in these cases charged as a result of The Sober Homes Initiative are substance abuse facility owners and patient recruiters who allegedly, among other things, provided kickback payments for the referral of patients to substance abuse treatment facilities, recovery homes or laboratories. These facility owners allegedly assigned a value to patients depending on the type of insurance the patients had, and then paid patient recruiters kickbacks for each patient the recruiters referred to their addiction treatment facilities. The recruiters allegedly received recurring payments for each month the patients continued to receive purported services from the facilities.
Cases charged as a result of The Sober Homes Initiative
- Nick Roshdieh, 51, of Aliso Viejo, and Vincent Bindi, 66, of Laguna Nigel, who owned Crest Recovery LLC (dba Truvida Recovery), were arrested Dec. 16, on charges contained in an indictment that allege conspiracy to pay and receive kickbacks for referrals to clinical treatment facilities and paying kickbacks for referrals to clinical treatment facilities.
Donald Vawter, 30, of Rancho Santa Margarita, an employee of Truvida, was also taken into custody today and was charged in the indictment with conspiring to pay and receive kickbacks for referrals to a substance abuse treatment facility and paying kickbacks for referrals to a substance abuse treatment facility.
Michael Hislop, 56, of Boston, Massachusetts, a patient recruiter, also was taken into custody today pursuant to charges in the same indictment that allege conspiracy to offer and pay kickbacks for referrals to a substance abuse treatment facility and receiving kickbacks for referrals to a substance abuse treatment facility.
If convicted, Roshdieh and Bindi would face a maximum total penalty of 65 years in prison, and Vawter and Hislop would face a maximum total penalty of 35 years in prison.
This case is being prosecuted by Assistant U.S. Attorney Gina Kong of the Santa Ana Branch Office and Trial Attorney Alexandra Michael of the Los Angeles Strike Force.
- Casey Mahoney, 45, of Los Angeles, and Joseph Parkinson, 32, formerly of Costa Mesa, were indicted in October in a multimillion-dollar addiction treatment kickback scheme. According to court documents, Mahoney controlled Healing Path Detox LLC and Get Real Recovery Inc., addiction treatment facilities in Orange County, and allegedly paid approximately $2.7 million in kickbacks paid to Parkinson and other patient recruiters in exchange for addiction treatment patient referrals.
Mahoney is charged with conspiracy to pay and receive kickbacks for referrals to clinical treatment facilities, paying kickbacks for referrals to clinical treatment facilities, and money laundering for fraudulently transferring kickback funds to an account held in the name of a patient broker’s mother. Parkinson, a patient recruiter, was charged with conspiracy to pay and receive kickbacks for referrals to clinical treatment facilities, receiving kickbacks for referrals to clinical treatment facilities, currency structuring, and possession with intent to distribute fentanyl.
If convicted, Mahoney would face a maximum total penalty of 35 years in prison, and Parkinson would face a maximum total penalty of 165 years in prison.
- Darius Moore, 28, formerly of Santa Ana, was charged by complaint on March 29, and later by indictment on April 28, with conspiracy to pay and receive kickbacks for referrals to clinical treatment facilities and receiving kickbacks for referrals to clinical treatment facilities. According to court documents, Moore, a patient recruiter, referred patients to multiple addiction treatment facilities in Orange County in exchange for kickback payments from the facilities. Moore allegedly received not less than $488,500 in kickbacks in exchange for his referral of patients for purported addiction treatment services.
Moore pleaded guilty on Dec. 10 to one count of conspiracy to pay and receive kickbacks for referrals to clinical treatment facilities and one count of receiving kickbacks for referrals to clinical treatment facilities. He is scheduled to be sentenced on May 13, 2022, at which time he will face a statutory maximum penalty of 15 years in prison.
- Adrian Gonzalez, 37, of Laguna Hills, was charged by information on June 25, with paying kickbacks for referrals to clinical treatment facilities. According to court documents, Gonzalez controlled Stone Ridge Recovery Inc. and Landmark Recovery LLC, addiction treatment facilities in Orange County, and paid at least $1,080,000 in kickbacks to patient recruiters for the referral of addiction treatment patients to Gonzalez’s facilities.
Gonzalez pleaded guilty on Aug. 6 to paying kickbacks for referrals to clinical treatment facilities. He is scheduled to be sentenced on Jan. 28, 2022, at which time he will face a maximum penalty of 10 years in prison.
- Dorian Ballough, 30, formerly of Costa Mesa, was charged by information on July 30 with conspiracy to pay and receive kickbacks for referrals to clinical treatment facilities and receiving kickbacks for referrals to clinical treatment facilities. According to court documents, Ballough acted as a patient recruiter for multiple addiction treatment facilities in Orange County, for which Ballough was paid at least $1.8 million in kickbacks in exchange for his referral of patients for purported addiction treatment services.
Ballough pleaded guilty on Nov. 12 to one count of conspiracy to pay and receive kickbacks for referrals to clinical treatment facilities and one count of receiving kickbacks for referrals to clinical treatment facilities. He is scheduled to be sentenced on April 8, 2022, and faces a maximum total penalty of 15 years in prison.
- Kyle Reed, 29, formerly of Huntington Beach, was charged by information on July 30, with conspiracy to pay and receive kickbacks for referrals to clinical treatment facilities and receiving kickbacks for referrals to clinical treatment facilities. According to court documents, the charges relate to Reed’s role as a patient recruiter for multiple addiction treatment facilities in Orange County, for which Reed was paid at least $604,474 in kickbacks in exchange for his referral of patients for purported addiction treatment services.
Reed pleaded guilty on Nov. 19 to one count of conspiracy to pay and receive kickbacks for referrals to clinical treatment facilities and one count of receiving kickbacks for referrals to clinical treatment facilities. He is scheduled to be sentenced on May 6, 2022, and faces a maximum total penalty of 15 years in prison.