Beverly Hills radiologist Ronald Grusd was convicted by a federal San Diego jury December 12th of paying kickbacks to get patient referrals from many clinics in San Diego and Imperial Counties. With the referrals, he fraudulently billed insurance companies for more than $25 million of medical services, the jury found. With his two companies, California Imaging Network and Willows Consulting Company, Grusd committed acts of conspiracy, mail and wire fraud, health care fraud, and other violations.
Grusd negotiated with individuals, including primary treating physicians, for the kickbacks of workers' compensation patients for a variety of services, including MRIs, ultrasounds, and shockwave treatments. After the patients were referred, one of Grusd's companies would fraudulently bill insurance companies for the procedures. The kickbacks were concealed from both patients and insurers.
Grusd paid more than $100,000 in bribes to get billings for hundreds of patients, according to court records. Since 2009, Grusd and his companies have filed tens of thousands of liens in the California Workers Compensation System, seeking reimbursement for hundreds of millions of dollars from multiple insurers.
Grusd and an administrator, who has also been charged, were indicted in 2015 as part of "Operation Back Lash," a healthcare-fraud investigation. Since then, nearly 40 individuals and corporations have been charged with federal or state crimes.