Michigan Dr. Castro charged with health care fraud and false statements

On February 2, 2022, a federal grand jury in Grand Rapids returned an indictment charging Dr. Daniel Castro with defrauding health care insurers and creating false medical records.

Dr. Castro was employed by Bronson Hospital in Battle Creek from February 2015 until May 2017, where he practiced as an otolaryngologist (an ear, nose, and throat physician).  Dr. Castro was hired by Bronson Hospital in 2015 despite the fact that he was previously charged with performing sinus procedures that were either not performed as claimed and/or were not medically necessary in the state of Oklahoma. In fact, in 2016, Dr. Castro agreed to pay a settlement to the United States and the State of Oklahoma to reimburse the government for unnecessary sinus procedures, treatments, and services. Bronson Hospital continued to allow Dr. Castro to treat patients even after that settlement was announced.

Olsman MacKenzie Peacock & Wallace is currently investigating civil claims against Dr. Castro and Bronson Hospital.

The recent Michigan criminal indictment alleges that Dr. Castro performed functional endoscopic sinus surgeries on patients whose symptoms, history, and computed tomography scans (CT scans) did not support the medical necessity of such procedures.  Additionally, the indictment alleges that Dr. Castro routinely billed for removing diseased tissue from inside his patient’s sinuses when diseased tissue did not truly exist and billed for performing surgery on sinus cavities that did not exist, to increase his compensation.  The grand jury also alleged that Dr. Castro routinely billed for performing complex neck dissection surgeries designed to treat confirmed cancer of the head and neck when his patients did not have cancer and he actually performed much simpler surgical neck procedures not associated with cancer treatment. Finally, the indictment alleges that Dr. Castro created false entries in his office consultation notes and operative reports in order to justify the medical necessity of his sinus surgeries or to make it appear as if he had actually performed the higher paying neck dissections or sinus procedures that he did not actually perform.

Castro is charged with 34 counts of health care fraud and 8 counts of making false statements relating to health care matters. The defendant’s initial court appearance was scheduled for Tuesday, February 22, 2022 before U.S. Magistrate Judge Sally J. Berens of the U.S. District Court for the Western District of Michigan. If convicted, he faces up to 10 years in prison for each of the health care fraud charges and up to 5 years in prison on each of the false statement charges.  A federal district court judge will determine any sentence after considering the U.S. Sentencing Guidelines and other statutory factors.

Click here to view the Indictment of Dr. Castro.

If you believe you underwent unnecessary treatment by Dr. Castro, call Olsman MacKenzie Peacock & Wallace for a free consultation. Our experienced medical malpractice attorneys can review the facts of your case and determine whether you may be entitled to pursue justice and maximum compensation in our lawsuit against Dr. Castro and Bronson Hospital.

Click here to learn more.