Ocean County Woman To Be Sentenced In Medicare Fraud Scheme

Cotton swabs. (File photo)
Cotton swabs. (File photo)

TRENTON – An Ocean County woman will be sentenced Monday for her role in defrauding Medicare of more than $430,000.

Sheila Kahl, 47, will be sentenced May 13 in federal court for her role in convincing hundreds of senior citizens to submit to genetic testing through nonprofit The Good Samaritans of America, U.S. Attorney Craig Carpenito said.

She worked with Seth Rehfuss, 44, of Somerset County, who was sentenced to 50 months in prison Friday. Another man, Kenneth Johnson, 39, of Lorton, Virginia, also pleaded guilty and will be sentenced May 20.

Kahl, with her coconspirators, gained access to seniors through The Good Samaritans of America and convinced many to submit to genetic testing without involving health care professionals. Rehfuss was a sales representative for laboratories, a fact the U.S. Attorney’s Office said he hid. They recruited health care providers through Craigslist and paid them thousands a month to sign names to requisition forms authorizing testing for people who were not their patients. Kahl, Rehfuss and Johnson set up fake email and phone accounts using fictitious names to bill Medicare for services that were never provided. The three split more than $100,000 in commission payments from the laboratories.

The U.S. Attorney’s Office did not name those labs.

The coconspirators had plans to expand their scheme outside New Jersey into Georgia, Delaware, Virginia, Maryland, Pennsylvania, South Carolina, Michigan, Mississippi, Florida, Tennessee and Arizona.