DOJ issues declination of charges against eye care group, opting to indict CEO for role in $3.4M fraud scheme

July 31, 2026 - 20:19

Federal prosecutors have decided not to file criminal charges against the corporate entity behind a chain of eye care clinics, instead choosing to pursue the company's chief executive on allegations of running a kickback scheme that defrauded Medicare of roughly 3.4 million dollars. The move reflects a broader shift in how the Department of Justice handles healthcare fraud cases, focusing more on individual accountability rather than penalizing entire organizations.

According to court documents, the CEO of CampusEye allegedly paid illegal kickbacks to referring physicians in exchange for patient referrals. Those referrals then led to a series of medically unnecessary diagnostic tests, which were billed to Medicare and later reimbursed. The DOJ's declination letter, which outlines the decision not to indict the company itself, cites the CEO's direct involvement and the fact that the alleged misconduct was not widespread across the organization.

Prosecutors noted that the company cooperated with the investigation, implemented compliance reforms, and agreed to pay back a portion of the fraudulent claims. Under the new enforcement policy, companies that voluntarily disclose misconduct, cooperate fully, and take remedial action can avoid criminal prosecution. In this case, the agency determined that the evidence pointed squarely at the CEO as the primary architect of the scheme, making individual charges more appropriate than corporate liability.

The CEO now faces multiple counts of healthcare fraud and violation of federal anti-kickback statutes. If convicted, he could face up to ten years in prison for each count. The case is being handled by the U.S. Attorney's Office for the District of Maryland, with trial dates expected to be set later this year. Legal experts say this outcome sends a clear signal to healthcare executives that personal responsibility for fraud will not be shielded by corporate structures.