Club Owner Admits Bilking Blue Cross
An owner of the Hatfield Athletic Club has admitted his role in a scheme to defraud Independence Blue Cross out of nearly $2 million. 64-year-old Mark Levin pleaded guilty to health care fraud in federal court in Philadelphia. He and his 39-year-old son-in-law, Michael Karp, owned the club and Rehab One, a rehabilitation facility within the club. Both men live in Bala Cynwyd. They hired a chiropractor, 57-year-old Raymond Brozek of Telford, to work at Rehab One from 2004 through 2006. Federal prosecutors say they billed the insurance company for treatments that were not medically necessary, not reimbursable or not performed at all. The amount Independence Blue Cross actually paid on the phony claims was about $400,000. Karp and Doctor Brozek have also pleaded guilty to health care fraud, and all three men will be sentenced in September.