Case No. 13-cr-20600 (E.D. Mich.)
Defendant Farid Fata (hereinafter, “the defendant”), a hematologist-oncologist, pleaded guilty to health care fraud, money laundering, and conspiracy to pay or receive kickbacks. As part of the defendant’s scheme, he deliberately administered medically unnecessary injections and infusions to patients, including chemotherapy, iron, cancer treatment drugs, and other medications. He also administered unnecessary diagnostic tests involving the injection of radiological material into patients. U.S. District Judge Paul D. Borman imposed a sentence of 45 years in prison and ordered the defendant to forfeit assets.
This claim process is the only opportunity patients will have to provide documentation for certain losses. The allowable losses are costs associated with medical services prescribed or performed by the defendant from April 11, 2005 through August 6, 2013 and remedial medical, dental, and mental health services performed up to and including September 6, 2016 to compensate for remedial treatments needed in response to the defendant’s inappropriate or unnecessary procedures. The claims process also allows family members of patients to seek reimbursement for a portion of patients’ funeral costs.Back To Top
The money generally comes from a fund made up of the net proceeds from liquidating the defendant’s assets.Back To Top
You do not have a lawyer in this case unless you hired a lawyer on your own. The Department of Justice represents the United States of America.
The process does not require a lawyer. However, the Office of the Claims Facilitator cannot give you legal advice about whether you should or should not retain a lawyer to assist you in this process.Back To Top
No. The lawyers at the Department of Justice and the Claims Facilitator and her staff are not being paid out of the victims’ fund.Back To Top
You do not have to give up a civil lawsuit or waive participation in any other kind of compensation process as a condition for being in this claims process. However, you will have an obligation to report in this process any amounts that you recover elsewhere that relate to losses claimed in this process.Back To Top
This means that you are swearing that you are telling the truth during this process. If any of your answers are knowingly untruthful, you can be prosecuted for the crime of perjury.Back To Top
Filing A Claim
The Claim filing deadline was November 14, 2016. There were 3 possible types of Claimants.
The general rules for claim eligibility are based on the fact that this is a criminal restitution process. Restitution is the technical term that describes a process governed by federal law to pay victims for some of the losses they suffered from a crime. Restitution rules apply to cases like this—cases in which the government seizes a convicted criminal’s assets and sets up a process for distributing those assets to victims of the crime who can provide documentation of certain kinds of economic losses.
It is fortunate that the Department of Justice has money to distribute and the Court has authorized the payment of restitution in this case. However, restitution has many detailed requirements and does not cover every type of loss.
Only certain kinds of out-of-pocket costs can be claimed in this process.
Losses that are eligible for payment in this process are:
Victims who have no out-of-pocket costs in the categories listed above were advised not to submit a claim in this process.
This is a restitution process within a criminal case; many categories of loss that are commonly paid in civil cases cannot be paid in this process.
Losses that are not eligible for payment in this process are:
We understand this will be very disappointing to many people. These are the rules Congress has set down that we must follow.
The United States Congress set the basic rules in the restitution statutes. The Court set further rules for this case in an order issued on April 11, 2016. If you would like to see the Order issued by the Court, please visit the United States Attorney’s Office for the E.D. of Michigan U.S. v. Farid Fata webpage at www.justice.gov/usao-edmi/us-v-farid-fata-court-docket-13-cr-20600.
If you have additional questions or concerns about this process, you can contact the Fata Claims Facilitator phone staff at 1-877-202-3282, or call the Victim Witness Coordinator for the U.S. Attorney’s Office for the Eastern District of Michigan, Sandy Palazzolo, at 1-313-226-9633. If you have specific questions about the claims process, please call the phone staff at 1-877-202-3282. Please be advised that Ms. Palazzolo will not be able to provide assistance in the claims process.Back To Top
Both were eligible to be claimed, however, the claim filing deadline has past. Any claims filed after November 14, 2016 will be set aside, and the Court will be asked to determine how they will be handled.Back To Top
The claim filing deadline was November 14, 2016 and has now passed. Any claims filed after November 14, 2016 will be set aside, and the Court will be asked to determine how they will be handled.
All timely claims submitted or postmarked on or before the claim filing deadline are in process, and eligible claimants will be notified if further documentation is required.Back To Top
There was no cost to file a claim. The claim filing deadline was November 14, 2016. Any claims filed after November 14, 2016 will be set aside, and the Court will be asked to determine how they will be handled.Back To Top
This claims process required that for each out-of-pocket expense, the claimant must have either:
Click here to look at some possibilities for the eligible expenses.Back To Top
To address the concern that claimants had too many entries to write into the 3 tables in the Claim Form (on pages 5, 8, and 11 of the Claim Form), we offered an alternative, slightly streamlined way of completing the tables in the Claim Form. Click here to read the Listing Multiple Expenses document.Back To Top
The claim filing deadline was November 14, 2016. There is no longer any assistance available for filing claims.Back To Top
Claims that were filed on time are now being processed. In some of those claims, we will determine that there were errors in the claim form: sometimes important information was missing, or the claim form said two things that are contradictory. In those cases, we will send the claimant a letter explaining the errors or defects in the claim form. The claimant will have 45 days from the date of that letter to submit the missing or corrected information. These letters will be sent through the months of December 2016 and January 2017.
The phone agents will be available to help claimants understand exactly what we are referring to or asking for in the letters referenced above. Additionally, in-person assistance may be available in the process of responding to the letters. Volunteer availability is limited. Please call 1-877-202-3282 to talk to a phone agent about your letter and/or to schedule an in-person appointment with a Victim Advocate Specialist or a CPA. Click here for further information.Back To Top
Getting A Payment
The Claims Facilitator, Randi Ilyse Roth, will make recommendations to the Court as to the amount of restitution that each timely-filed claim is entitled to receive according to the rules of the case. She and her staff will examine whether each claim is asking for categories of compensation that are eligible in this claim process, and whether each claim provides proper documentation. Then the Court will make a decision based, in part, on the Facilitator’s recommendations.Back To Top
The time to file claims is now closed. The deadline was November 14, 2016 pursuant to a court order. Any claims filed after November 14, 2016 will be processed and then set aside, and the Court will be asked to determine how they will be handled.
Additionally, the time to submit requested information to correct identified errors in claim forms has now past. Any corrections received postmarked after the deadline printed on the letter you received will be processed and then set aside, and the Court will be asked to determine how they will be handled.Back To Top
Preliminary Decision Letters were mailed between July 24 and July 25, 2017. If you submitted a claim and have not received a Preliminary Decision Letter, please call 1-877-202-3282 for more information.Back To Top
The Court makes the final decision based on the Facilitator’s recommendations.Back To Top
The process will be detailed in your decision letter but you may request that the Facilitator reconsider the decision. You will need to submit a letter that explains why you think the outcome is wrong and include any documentation that you have not already submitted that shows why the outcome is wrong.Back To Top
If you do not file any claim in this case you will not recover any money in this case.Back To Top
The amount you may get paid depends both on the details of your claim submission and on whether the total amount of eligible claims exceeds the amount of money in the restitution fund.
Once all of the claims have been filed and processed, we will have a better sense of the timing.Back To Top
Information About The Claims Package
A list of definitions of terms used in this claims process is included in the Claim Package. You can download a PDF copy of the Definitions of Terms used in this claims process here.Back To Top
|April 11, 2005||This is the date when the defendant started his practice at Michigan Hematology Oncology (“MHO”).|
|August 6, 2013||This is the date when the defendant was arrested.|
|September 6, 2016||This is the last date of remedial treatment that can be submitted for compensation in this claims process.|
|November 14, 2016||This is the deadline for filing a claim|
Information About Documentation
A chart containing information on how to contact Medicare and various private insurance companies for Explanation of Benefits or Medicare service notices can be found on the Medicare & Insurance Info page by clicking here.Back To Top
Yes, if they otherwise meet the requirements for eligibility.Back To Top
Mental health treatment can include treatments by a psychologist, psychiatrist, licensed therapist, or licensed social worker, and includes prescription medications that they prescribe.Back To Top
The Claims Facilitator cannot give you legal or tax advice. You may wish to consult your tax advisor.Back To Top
The Claims Facilitator cannot give you legal advice.Back To Top
We don’t have specifics of what will happen at the Court hearing rescheduled on November 17, 2017 at 3:00 p.m. CST but understand that the Judge wants to be provided an update on this restitution process at that time. Typically the hearings are open to the public and updates will be posted to the DOJ website for this case found here.Back To Top
Getting More Information
If you have any questions or concerns about this claims process, you can contact the Fata Claims Facilitator phone staff at 1-877-202-3282, or call the Victim Witness Coordinator for the U.S. Attorney’s Office for the Eastern District of Michigan, Sandy Palazzolo, at 1-313-226-9633. If you have specific questions about the claims process, please call the phone staff at 1-877-202-3282. Please be advised that Ms. Palazzolo will not be able to provide assistance in the claims process.Back To Top
Changing My Claim Information
Write to us to report the change of address. Send a letter with the information to:
Fata Claims Facilitator
PO Box 2730
Portland, OR 97208-2730
The preliminary decision letter explains the Facilitator’s preliminary recommendation for your claim.Back To Top
Please note that there may be a difference between the amount that you are “eligible” for and the amount that you will be paid. The amounts that you are eligible for may not be paid in full. The Department of Justice will inform the Court about the proposed amounts each claimant is eligible for. At this time, we do not know precisely what portion of each claim will be paid, and we do not know the precise timing of payments. The Court will decide what portion, if any, of each claim will be paid based on the total dollar amounts of approved claims and the total amount of funds available for distribution.Back To Top
If you believe that the decision is wrong, you can request reconsideration.Back To Top
If you wish to request reconsideration, you must submit a letter that explains why you think the outcome detailed in your decision letter is wrong. Your letter should include any documentation that you have not already submitted to us that helps to show that the outcome is wrong but you cannot add any new claims or new expenses at this point. Any such letter and documentation must be submitted to us with a postmark date on or before August 24, 2017. Any requests for reconsideration received after this time will not be considered.Back To Top
We expect that the Facilitator will complete the review of all reconsideration requests within a few months, so decisions should be available sometime in the Fall.Back To Top
A final determination letter will be mailed to you in the Fall with the results of the reconsideration process.Back To Top
The final determination letter will include instructions on how you can appeal to the court.Back To Top
The Court will have a status hearing on Friday, November 17, 2017 at 3 p.m.Back To Top
We need you to provide documentation that you are authorized to represent that patient. This means that:
However, if you are the surviving spouse of a deceased patient, see FAQ 42.Back To Top
Yes, if you have the documentation, please send it in. However, if you don’t, then you only need to return a completed surviving spouse affidavit with a postmark date on or before August 24, 2017. Click here for that affidavit.Back To Top
If you are only seeking restitution of funeral expenses, then no, you do not need to provide legal rep documents or a surviving spouse affidavit.Back To Top
We need to ensure that any restitution that is approved is sent to the individual legally responsible for handling the deceased patient’s affairs. The categories of papers listed in FAQ 41 and FAQ 42 above are needed to provide that assurance.Back To Top
The documentation along with the EIN (if needed) must be submitted to us with a postmark date on or before August 24, 2017.Back To Top
If you can’t obtain the documentation by that time, then it is likely that the payment will be delayed.Back To Top
No, the EIN and SSN are different numbers.Back To Top
You can get the EIN from the IRS. There is no charge to get this number.Back To Top