Doctor in His 60s Sentenced to 2 Years in Prison and Fined 5 Million Won
Wife Who Aided the Crime Also Sentenced to 1 Year and 6 Months in Prison
A doctor and his wife have been sentenced to prison for illegally soliciting brokers by offering them commissions for bringing in patients.
On December 27, Yonhap News reported that the Changwon District Court Criminal Division 7 (Judge Lee Hyoje) sentenced Doctor A, who is in his 60s and was indicted on charges including violation of the Medical Service Act, to two years in prison and a fine of 5 million won. A's wife, B, was sentenced to one year and six months in prison.
From September to December 2021, A and others were brought to trial on charges of instigating brokers to illegally solicit and lure patients at a hospital in Changwon, Gyeongnam. The couple offered brokers either 10 to 20 percent of the surgery fee paid by each patient, or 200,000 to 800,000 won per patient. Under these terms, the brokers received illicit payments ranging from several million won to over 100 million won.
The couple performed so-called "factory-style" radiofrequency ablation procedures for thyroid nodules on the patients brought in by the brokers. Thyroid nodules are relatively common and mostly benign, and if they are less than 2 centimeters in size, no treatment is usually necessary. However, A performed the ablation procedure after only confirming the presence of nodules through ultrasound, without any additional tests. As this procedure is not covered by insurance, the hospital could set the surgery fee arbitrarily, and insurance companies had no clear way to verify the authenticity of the documents.
A issued medical certificates, surgery confirmation letters, and admission/discharge certificates to the patients, while his wife B, as the hospital's chief executive director, managed schedules and adjusted profit-sharing ratios, as well as informed patients about precautions when filing for insurance claims. They issued documents as if the patients had received legitimate treatment and been properly admitted, and instructed patients on how to respond to investigations by insurance companies. In addition, A was also indicted on charges of modifying or deleting medical records to facilitate insurance claims, and using employees' health insurance premiums for hospital operating expenses.
The court stated, "A played an essential role in completing the insurance fraud by performing unnecessary procedures on a large scale and issuing documents for insurance claims," adding, "B was also deeply involved in planning and executing the insurance fraud, so her level of involvement is not minor."
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