Justice Department Charges Dr. Stephen Dubin in $95 Million Medicare Fraud Scheme
Updated
Updated · The New York Times · Aug 4
Justice Department Charges Dr. Stephen Dubin in $95 Million Medicare Fraud Scheme
1 articles · Updated · The New York Times · Aug 4
Summary
Federal prosecutors charged Nevada doctor Stephen Dubin with orchestrating a $95 million Medicare scheme that allegedly billed for expensive skin substitutes applied unnecessarily to elderly patients.
The Justice Department said Dubin submitted sham invoices that hid a 40% kickback arrangement tied to reimbursements for the placenta-derived wound coverings.
Prosecutors also allege he used the proceeds to fund a lavish lifestyle, including commissioning multiple multimillion-dollar yachts, while treating patients with infected wounds or others unlikely to benefit.
The case follows a June charge against a Legacy Medical Consultants executive accused of paying illegal kickbacks; prosecutors say that executive made $24 million from the scheme.
Medicare spending on skin substitutes surged to nearly $15 billion in 2025 before the Trump administration cut reimbursement rates, driving spending down to about $100 million so far this year.