Federal indictment accuses Maryland man of $100 million COVID-19 test fraud scheme
A Maryland man is facing a federal indictment alleging that he led a $100 million fraud scheme linked to false medical claims made for COVID-19 tests.
The indictment, announced Friday, charges 57-year-old Marc Aaron Potash with conspiracy to commit healthcare fraud and seven counts of healthcare fraud, according to a news release issued by the U.S. Attorney's Office for the District of Maryland.
The charges relate to the alleged submission of false and fraudulent medical claims sent to Medicare, Medicaid, the Federal Employees Health Benefits Program (FEHBP) and other insurers for at-home, self-administered COVID-19 tests.
The defendant allegedly conspired with others to obtain money through false and fraudulent representations to insurers that were facilitated through his Gaithersburg company, Tiero, LLC. The alleged crimes happened between 2022 and May 2026, the U.S. Attorney's Office said.
Potash and others submitted documents that falsely claimed Tiero's medical providers were performing on-site COVID-19 testing at the company's purported lab, the indictment states. Fraudulent claims were then allegedly submitted to insurers that listed false dates of service, a fake place of service, and a phony rendering provider for COVID-19 tests.
"However, in reality, Potash and his co-conspirators merely shipped over-the-counter, self-administered COVID-19 tests to insured individuals across the country," the news release said. "In total, Potash and his co-conspirators caused the submission of more than $100 million in false and fraudulent healthcare claims, resulting in more than $50 million in insurance payments to Tiero."
The indictment also alleges that Potash engaged in "multiple monetary transactions in criminally derived property." This allegedly included Potash purchasing a Range Rover, Mercedes-Benz, and $4 million in real estate property in Beallsville, Maryland. In addition, two security transfers totaled more than $12 million, the news release said.
If convicted, Potash faces a maximum of 10 years in federal prison, the U.S. Attorney's Office said. The possible penalty is based on several counts, including conspiracy to commit healthcare fraud, healthcare fraud, and conducting transactions in criminally derived proceeds.
