On Monday, a jury convicted Long Island, New York, pharmacist Ira Gross and his shell company, Chaparral Services Ltd., of selling HIV medications illegally obtained on the black market to Medicaid recipients, Newsday reports.
The black market scheme billed Medicaid and others $274 million, with Gross taking in a $25 million profit, according to a press statement by Attorney General Eric Schneiderman.
Gross, the mastermind behind the scheme, and three others were arrested in 2012 as part of Schneiderman’s Medicaid Fraud Control Unit. Gross will be sentenced in September and faces between 8.3 and 25 years in prison.
Gross acquired the black market meds through the online pharmacy MOMS, which has locations in Melville, Long Island; Manhattan; Brooklyn; and in other states.
“The perpetrators of this complex scheme not only cheated the state Medicaid program out of millions of dollars, but preyed on some of New York’s most vulnerable patients just to make a quick buck,” said Schneiderman in a statement. “These convictions should send a clear message that my office will not tolerate these types of abhorrent schemes. If you seek to line your pockets at the expense of the health and well-being of New Yorkers, you will be punished.”