Thursday, February 16, 2012

2 convicted in health care fraud sentenced (AP)

CHICAGO ? Two former executives of health care company Canopy Financial Inc. who pleaded guilty to defrauding investors out of $75 million have been sentenced to prison.

Former President and CEO Jeremy Blackburn was sentenced Wednesday to 15 years in prison. Former Chief Technology Officer Anthony Banas received a 13-year sentence. Both men pleaded guilty in 2010 to one wire fraud count.

According to court documents, Blackburn and Banas used false information about Canopy's financial condition to obtain about $75 million from several investors in 2009. They also allegedly pocketed about $18 million from accounts meant to pay people's medical bills.

The then-Chicago-based company declared bankruptcy in 2009.

The 34-year-old Banas is to report to prison April 18. The 38-year-old Blackburn begins serving his sentence March 20.

Source: http://us.rd.yahoo.com/dailynews/rss/crime/*http%3A//news.yahoo.com/s/ap/20120215/ap_on_re_us/us_health_care_fraud

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