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KTSM News – El Paso doctor to pay nearly $500K in deal with feds

Posted on March 10, 2025

 EL PASO, Texas (KTSM) — An El Paso doctor has agreed to pay the federal government nearly a half-million dollars to resolve allegations that he took kickbacks and falsely certified that patients were eligible for hospice care, according to the U.S. Attorney’s Office for the Western District of Texas.

John Patterson, M.D., a physician practicing in El Paso, has agreed to pay the U.S. government $468,626 to resolve allegations under the Federal False Claims Act, the U.S. Attorney’s Office said.

The federal government alleged that Patterson received kickbacks from Nursemind Home Care Inc., a freestanding hospice care center in El Paso, to certify patients as eligible for hospice services when, in fact, the patients were not eligible for these services, the U.S. Attorney’s Office said.

The federal government also alleged that by falsely certifying these patients as eligible, Patterson caused false claims to be submitted to federal health care programs, the U.S. Attorney’s Office.

“My office will hold providers accountable, both through the civil and criminal process, when they attempt to defraud federal health care programs and the American taxpayer,” said Acting U.S. Attorney Margaret Leachman for the Western District of Texas.

Patterson was given credit for agreeing to cooperate with an ongoing criminal investigation and testifying during any resulting criminal prosecutions, the U.S. Attorney’s Office said.

The investigation into this scheme led to the criminal prosecution of Zenia Chavez, the owner of Nursemind Home Care, Inc. Chavez pleaded guilty to one count of conspiracy to commit illegal renumerations regarding a federal health care program, the U.S. Attorney’s Office said.

“Dr. Patterson falsely certified individuals for hospice services under Medicare when they did not meet eligibility criteria,” said Special Agent in Charge John Morales for FBI El Paso. “He violated his oath as a physician to fight against health care fraud and waste. Today’s civil settlement shows how steadfastly committed the FBI El Paso Healthcare Fraud and Financial Crimes Task Force is in protecting the integrity of the Medicare Program, which is vital to the health and well-being of individuals in need of their services. We will go after individuals who seek to enrich themselves by jeopardizing the health care of Medicare beneficiaries and defrauding American taxpayers.”

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