Steven Osbey, co-owner of Reign & Inspirations, LLC (R&I), has agreed to a consent judgment totaling $4,711,159.00 in favor of the United States and State of North Carolina. This agreement follows allegations that R&I charged Medicaid for physician home visits that never took place.
Authorities allege that Osbey and his business partner, Aljihad Shabazz, were involved in a healthcare fraud scheme by submitting false claims to NC Medicaid. The claims were for in-home physician visits that did not occur, with over 30,000 hours billed and some days showing over 100 visits allegedly conducted by a single physician.
The investigation was conducted by both civil and criminal divisions of the U.S. Attorney’s Office. Shabazz pleaded guilty to charges of criminal healthcare fraud conspiracy and money laundering, receiving a sentence of 52 months in prison followed by two years of supervised release.
This civil settlement is the result of efforts from the Department of Justice and FBI field offices in Charlotte, alongside assistance from the Medicaid Investigations Division of the North Carolina Attorney General’s Office and the Office of Inspector General at the United States Department of Health and Human Services. Assistant U.S. Attorneys Caroline McLean and Seth Johnson led the civil investigation.
The case highlights governmental efforts to combat health care fraud using tools like the False Claims Act. The public can report potential fraud or abuse to the Department of Health and Human Services at 800-HHS-TIPS (800-447-8477).
