Local

Jacksonville man pleads guilty in $24M Medicare kickback scheme

DOJ MIDDLE DISTRICT OF FL
DOJ MIDDLE DISTRICT OF FL DOJ MIDDLE DISTRICT OF FL

JACKSONVILLE, Fla — Jonathan Simeon Gholston, 35, of Jacksonville, admitted to conspiring to receive illegal kickbacks for referring Medicare and Medicaid beneficiaries to a local pharmacy for HIV post-exposure prophylactic medications. He faces up to five years in federal prison.

According to court documents, Gholston owned a marketing company that partnered with a Jacksonville pharmacy. Marketers set up tents in low-income areas offering free, government-sponsored cellphones in exchange for personal information. While signing people up for phones, they also collected health insurance details — including Medicare and Medicaid coverage — without individuals requesting or consenting to receive HIV medications.

The pharmacy allegedly used that information to generate prescriptions authorized by a nurse practitioner who had not examined or spoken to the patients. The pharmacy then billed Medicare and Medicaid about $4,000 per month per person for the medications.

Investigators say the scheme led to more than 20,000 fraudulent claims and approximately $24.2 million in reimbursements — about $11.6 million from Medicare and $12.5 million from Medicaid. Gholston personally received about $2.27 million, which he has agreed to forfeit.

Authorities say some recipients were put at serious health risk because they were prescribed medications without proper medical evaluation.

Listen to Jacksonville’s Morning News Interviews

Click here to download our free news, weather and traffic app. And click here to subscribe to our daily 3 Big Things newsletter.

Michelle Thibodeau

Michelle Thibodeau, News 104.5 WOKV

Michelle Thibodeau is WOKV's Afternoon Anchor.