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Phony drug rehab facilities addicted to fraud

On July 14, 2020, in a Los Angeles courthouse, Christopher Bathum, the enigmatic founder of a well-known drug and alcohol treatment center, was sentenced to 20 years in prison for running a $175 million health care-billing fraud scheme. The self-styled “Rehab Mogul” was also sentenced to 52 years for sexually assaulting seven female patients. The convictions and sentencings for Bathum and his codefendant Kirsten Wallace, chief financial officer of the treatment center, were the culmination of a lengthy investigation by Los Angeles County authorities and the California Department of Insurance. (See “Former Rehab Center Owner Sentenced in Sex Assault, Healthcare Fraud Cases,” Los Angeles County District Attorney’s Office, July 14, 2020.)

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