Counsellor convicted after billing US military $46m, buys gold-plated Tesla

A Texas counsellor who fraudulently billed a United States military healthcare programme more than US$26 million ($46m) and bought a gold-plated Tesla has been convicted by a federal jury.

Kevin Curry, 64, of Frisco, Texas, was found guilty in federal court at Fort Worth on three counts of healthcare fraud, three counts of paying illegal healthcare kickbacks and three counts of engaging in monetary transactions involving criminally derived property, according to the US Department of Justice.

Prosecutors alleged that Curry targeted active-duty military personnel, veterans and their families through clinics he operated in Texas and Florida.

Curry billed the US military for millions of dollars involving a treatment called transcranial magnetic stimulation (TMS). TMS uses magnetic pulses to stimulate areas of the brain and is commonly used to treat conditions including depression.

According to prosecutors, the treatment was often medically unnecessary and, in some cases, never provided.

The Department of Justice said Curry paid more than US$5.5m in kickbacks to persuade patients to agree to the treatment, even when they did not qualify for it.

Evidence presented at trial showed Curry falsely presented himself as a medical doctor and used the credentials of licensed physicians without their knowledge or consent to submit claims.

Prosecutors said he also directed employees to fabricate medical records to support fraudulent billings.

A Texas counsellor fraudulently billed the US military US$26 million and bought a gold-plated Tesla Cybertruck. Photo / US Department of Justice

The clinics allegedly submitted more than US$26m in fraudulent claims, including those linked to illegal kickbacks, resulting in about US$17m in payments from the US military’s healthcare programme, Tricare.

Authorities said Curry used some proceeds to fund personal spending, including hotel stays, a lavish casino-themed party and a gold-plated Tesla Cybertruck worth more than US$100,000.

Photographs released by the department showed the customised vehicle, which prosecutors used to show how Curry spent his fraudulent income.

Assistant Attorney-General Colin McDonald said the case involved the exploitation of a healthcare programme relied on by military families.

“Yesterday’s verdict makes clear that those who try to defraud the United States will be met with swift and decisive justice,” McDonald said.

“Such conduct is an affront to the military community and the American public.”

US Attorney Ryan Raybould said Curry had “shamelessly preyed on the trust of service members, veterans and their families”.

The case was investigated by the Department of Defence Criminal Investigative Service, the FBI, the Texas Attorney-General’s Medicaid Fraud Control Unit and the Department of Veterans Affairs Office of Inspector General.

Curry is waiting to be sentenced. He faces a maximum penalty of 10 years’ imprisonment on each count, although a federal judge will determine the final sentence.