Reagan T. Fondren Acting United States Attorney for the Western District Of Tennessee | U.S. Attorney for the Western District of Tennessee
Today, Interim United States Attorney Joseph C. Murphy, Jr. announced criminal charges against three individuals in connection with an alleged scheme to defraud the Federal Employees’ Compensation Fund (FECA). These charges are part of the Department of Justice’s 2025 National Health Care Fraud Takedown. The allegations involve a West Tennessee pharmacy that fraudulently billed FECA for medications not based on valid prescriptions and not dispensed to claimants.
Attorney General Pamela Bondi stated, “This record-setting Health Care Fraud Takedown delivers justice to criminal actors who prey upon our most vulnerable citizens and steal from hardworking American taxpayers. Make no mistake – this administration will not tolerate criminals who line their pockets with taxpayer dollars while endangering the health and safety of our communities.”
Interim United States Attorney Murphy's announcement is part of a nationwide law enforcement action resulting in criminal charges against 324 defendants for alleged participation in health care fraud and illegal drug diversion schemes. These schemes involved over $14.6 billion in false billings and more than 15 million pills of illegally diverted controlled substances. The Government seized over $245 million in cash, luxury vehicles, and other assets.
In the Western District of Tennessee, Kossie Lamon Simmons, Katina Marzie Simmons, both from Collierville, Tennessee, and Tritia Margalizita Townsend from Memphis were charged by indictment with conspiracy to commit health care fraud and wire fraud related to defrauding FECA by billing for medications not based on valid prescriptions or dispensed to claimants. SarJo Pharmacy, Inc., was involved in fraudulently billing approximately $28,738,532.90 and receiving payments around $16,262,445.70.
The indictment alleges that Kossie Simmons was a beneficial owner submitting claims for prescription medications purportedly dispensed; Katina Simmons was listed as a 70% owner managing the entities involved; Tritia Townsend served as the pharmacist in charge at SarJo.
The Health Care Fraud Unit’s various Strike Forces along with U.S. Attorneys’ Offices across numerous districts are prosecuting cases under the National Health Care Fraud Takedown with assistance from the Data Analytics Team.
The Western District of Tennessee collaborated with several agencies including the Department’s Criminal Division and offices within USPS and DOL Inspector Generals to investigate these cases during enforcement actions.
Trial Attorney Sara Porter from the Gulf Coast Health Care Fraud Strike Force alongside Assistant United States Attorney Raney Irwin is prosecuting this case for the Western District of Tennessee.
It is important to note that any complaint or indictment remains an allegation until proven otherwise beyond reasonable doubt in court proceedings.
For further information regarding this case or others involved in today’s enforcement actions please contact USATNW.Media@usdoj.gov or follow updates through social media platforms provided by U.S Attorney’s Office channels such as Facebook or X at @WDTNNews.
