Saddle Brook Doctor Charged In $100 Million Referral Scheme

SADDLE BROOK, NJ – A Bergen County family doctor was charged with accepting million of dollars in bribes in exchange for test referrals as part of an elaborate kickback scheme that netted him approximately $200,000, said U.S Attorney Paul J. Fishman.

Bernard Greenspan, 78, of Saddle Brook, was indicted by a federal grand jury in Newark on 10 charges related to the kickback scheme, including conspiracy and wire fraud. Authorities said he has a family practice in Bergen County, but did not say where.

From March 2006 to April 2013, Greenspan received approximately $200,000 in bribes from employees and associates of Biodiagnostic Laboratory Services LLC, authorities allege. The monthly bribe payments came in as sham rental, service agreement, and consulting payments from BLS services so Greenspan would refer patients to the lab. His referrals generated about $3 million in business for BLS.

Greenspan also allegedly solicited and received money to pay for holiday parties for him and his office staff, Fishman said.

BLS hired one of Greenspan's patients, at his request, with whom he was having a sexual relationship with, Fishman said.

So far 39 people, including 26 doctors, have pleaded guilty in connection with the $100-million bribery scheme. Authorities have recovered more than $11.5 million. Authorities believe it is the largest number of medical professionals ever prosecuted in a bribery scheme, Fishman said.

Frank Santangelo accepted more than $1.8 million in bribes from BLS to refer patients to the lab. He was sentenced to 63 months in prison in July. He had an office in Wayne.

Greenspan is the second physician involved with the scheme to be indicted. Brett Ostrager was indicted Aug. 11 and pleaded guilty on Dec. 22 after his motion to dismiss the indictment was denied. He is awaiting sentencing.

Greenspan was charged with conspiring to commit violations of the Anti-Kickback Statute, the Federal Travel Act, and wire fraud, three violations of the Anti-Kickback Statute, three violations of the Federal Travel Act, and three counts of wire fraud.

Greenspan has not yet been arraigned. He faces a maximum of 20 years in prison on the wire fraud charge alone and five years on each anti-kickback and travel act charge if found guilty. Each charge carries with it a maximum $250,000 fine.