Two men pleaded guilty on Thursday in connection with a federal investigation into a massive prescription-benefits fraud case.

Matthew Tedesco, of New Jersey, and Robert Bessey, of Pennsylvania, pleaded guilty in federal court to charges of conspiracy to commit healthcare fraud in a $25 million scam. Each could face up to 10 years in prison.

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As part of his plea, Tedesco must forfeit $11 million and pay restitution of at least $28.7 million, according to a report by the Press of Atlantic City. Bessey must forfeit at least $485,540 and pay restitution of $2.7 million.

According to prosecutors, Tedesco led the scam and Bessey acted as a recruiter. They persuaded others – including firefighters, teachers and police officers – to get medically unnecessary prescriptions in exchange for kickbacks from the compounding pharmacy and the prescription benefits administrator.

“Using a network of recruiters, doctors, and state and local government employees, the defendants defrauded the state of New Jersey and other health insurers out of millions of dollars by getting reimbursed for phony prescriptions on expensive and unnecessary compounded medications,” Acting US Attorney William E. Fitzpatrick said in a statement.

“This conduct, which fraudulently exploited state benefits programs and left New Jersey taxpayers on the hook for millions in losses, is especially brazen in an era when health insurance is a constant concern for many Americans.”


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