Public Safety
Palm Desert Man Sentenced to 15 Months in Prison for Role in Medical Bribery Scheme
A Palm Desert man, an accountant, found guilty of tax offenses related to the facilitation of over $40 million in illegal kickbacks for a hospital owner in Long Beach was sentenced Friday.
George William Hammer was sentenced to 15 months in federal prison and was ordered to pay an $8,000 fine and forfeit $500,000 in proceeds from the scheme.
Hammer pleaded guilty in August 2018 to one count of filing a false tax return.
Hammer was the financial officer for various companies controlled by Michael D. Drobot, who owned Pacific Hospital in Long Beach. Drobot conspired with doctors, chiropractors, and marketers to pay kickbacks in return for the referral of thousands of patients to Pacific Hospital for spinal surgeries and other medical services paid for primarily through the California workers’ compensation system.
During its final five years, the scheme resulted in the submission of more than $500 million in bills for kickback tainted surgeries. To date, 22 defendants have been convicted for participating in the kickback scheme.
Beginning in 1997, Hammer supported the kickback scheme by facilitating payments to individuals receiving bribes and kickbacks pursuant to sham contracts that were used to conceal the illicit payments. Hammer falsified tax returns by characterizing the bribes as legitimate business expenses.
“Through his role at the Drobot-controlled entities, ensured that doctors were paid more than $40 million…in kickbacks,” prosecutors argued in a sentencing memorandum. “The scheme was too complex for Drobot to do alone. It could not have been accomplished without complicit executives like who furthered the scheme.”
Hammer was a salaried employee and did not directly profit from the kickbacks and bribes.
In January 2018, Drobot was sentenced to five years in federal prison for his crimes in this matter and awaits a March 2023 sentencing hearing after pleading guilty to three criminal charges for violating a court forfeiture order in the Pacific Hospital case by illegally selling his luxury cars.
By: Albert Bataclan
June 24, 2022
Latest Instagram Posts
Palm Springs firefighters responded Thursday to a report of a person struck by lightning in the Chino Canyon area. The person was transported to a hospital for medical treatment. Firefighters also responded to a palm tree fire in Chino Canyon that officials say was caused by an apparent lightning strike. NBC Palm Springs News Director David Reese is in the neighborhood tonight knocking on doors and trying to learn more about what happened. Did you see the lightning strike? Did you hear or see anything unusual? Do you know who was struck or have information that could help us understand what happened? We’d like to hear from you. Send us a DM here or contact NBC Palm Springs if you witnessed the incident or have information to share. #PalmSprings #ChinoCanyon #Lightning #PalmSpringsNews #NBCPalmSprings CoachellaValley BreakingNews
Fred Roggin’s response? Show us the receipts! #therogginreport #coachellavalley #localnews #explore #nbcpalmsprings
A $557k budget shortfall … so why do they need $11.3 million in new taxes? Are you voting Yes or No on Measure P? #therogginreport #measurep #localnews #coachellavalley #nbcpalmsprings
School board trustee wears “FAFO” shirt to court deposition. Drop your thoughts in the comments 👇🏽 #therogginreport #coachellavalley #localnews #explore #nbcpalmsprings
Estevan Figueroa of King’s Club Barbershop is giving back across the Coachella Valley — one haircut at a time. He and his team recently gave dozens of free haircuts to kids at the Boys and Girls Club in Cathedral City. Figueroa also provides clothing, essentials and encouragement to people in need. Inspired by lessons from his father, he’s now started a nonprofit to help even more people in the community. “Look good, feel good.” @barbercipactli Read the full story at NBCPalmSprings.com.
9 months. 5 deposition notices. 1 no-show. What is this official hiding under oath? Let us know what you think in the comments 👇 #therogginreport #jesusgonzalez #localnews #coachellavalley #nbcpalmsprings
Social Time with Thalia & Jerry
Tim O’Brien at the Coachella Valley Firebirds training camp!!
BREAKING NEWS 🚨: Murder Suspect Vicky Kim has made a court appearance for the first time in almost two weeks amidst medical delays and two refusals. Today she plead NOT GUILTY to all charges of killing her husband. She is set to appear October 7th for her preliminary hearing. Be sure to visit nbcpalmsprings.com for more information on this case. #breakingnews #courtnews #vickykim #coachellavalley #760
Social Time with Thalia & Jerry. Did you catch the bug that’s going around?