New charges for Cdn doc suspected of $375M health-care fraud

Dr. Jacques Roy is seen in a court room sketch in Dallas Texas Monday March 5, 2012. Dr Roy was...

Dr. Jacques Roy is seen in a court room sketch in Dallas Texas Monday March 5, 2012. Dr Roy was arrested Feb 28, 2012.. (Credit Gary Myrick)

Andrew McIntosh, QMI Agency

, Last Updated: 5:24 PM ET

SEATTLE - U.S. federal authorities have laid new criminal charges against a former Canadian doctor for his alleged role in orchestrating a massive $375-million health-care fraud in Texas.

A grand jury issued a new indictment against Jacques Roy in early September that added a new count of obstruction of justice and two new counts of making false statements.

Roy appeared briefly in a U.S. District Court in Dallas this week and pleaded not guilty to all 14 felony counts. If convicted, he could be sentenced to life in prison.

U.S. prosecutors say they've gathered a massive amount of evidence against Roy and six others suspected of running a fraud ring, which they say billed the government for home medical care services either not needed or never received.

The new charge against Roy comes from allegations he instructed his medical staff to cleverly circumvent U.S. rules that barred he and his employees from being paid by U.S. medicare system while the fraud probe was underway.

Authorities say Roy's nurse, Charity Eleda, billed the government for alleged home visit services while she was outside the U.S., court documents state.

The indictment also indicates Roy amassed a total of $2.5 million U.S. in his personal and business bank and investment accounts.

Authorities have frozen the accounts and asked the court for permission to seize them if and when Roy is found guilty.

Roy, who surrendered his Texas medical license this summer, has hired a new defence team led by Houston criminal attorney Ali Fazel.

Fazel said he expects the case may not go to trial this Fall as scheduled.

"He is doing OK but is obviously not happy about being in custody," Me. Fazel said. "It wears on him ... He is adamant about not being guilty."

- Andrew McIntosh is Investigations Desk Editor at QMI. He can be reached at 514-290-0922


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