Sales rep admits scheming to defraud Tricare

NEWARK, N.J. — A Pennsylvania man has admitted in federal court in New Jersey that he defrauded a military insurance program after he was recruited into the scheme by a former Canadian soccer player.

Jason Cerge on Wednesday pleaded guilty to conspiracy to commit health care fraud.

The 41-year-old Media, Pennsylvania, resident admitted he participated in a scheme to defraud TRICARE by knowingly submitting fraudulent claims for medically unnecessary prescription compounded medications.

Prosecutors say the conspirators knew that TRICARE reimbursed pharmacies for each of the compounded medications and the conspirators entered into agreements with certain pharmacies nationwide to receive a percentage of the amount reimbursed for each prescription diverted to that pharmacy.

Cage was recruited by Peter Pappas, who pleaded guilty to his role in the scheme last year.

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