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Doctor pleads guilty to cancer treatment fraud

ED WHITE
Associated Press

DETROIT (AP) — A Detroit-area cancer doctor accused of putting people through unnecessary treatments and then billing insurers for millions of dollars pleaded guilty to fraud Tuesday, admitting that he knew his patients often didn’t need chemotherapy.

Dr. Farid Fata pleaded guilty to 16 charges, including money laundering and conspiracy, without the benefit of a plea deal with prosecutors. U.S. Attorney Barbara McQuade said she would not negotiate such a “shocking” case and will seek a sentence of life in prison.

“We weren’t interested in bargaining anything away,” McQuade said.

“His conduct was so egregious,” she told The Associated Press on the courthouse steps. “It wasn’t a matter of stealing money but torturing patients by lying to them about having cancer. … Chemotherapy is poison intended to kill cancer cells.”

Fata, 49, of Oakland Township pleaded guilty a month before trial in Detroit federal court. The hearing Tuesday was supposed to be an opportunity to argue about evidence, including an email that showed his interest in a $3 million castle in Lebanon, his native country, at the peak of the scheme.

U.S. District Judge Paul Borman went over the charges and asked Fata each time, “You’re pleading guilty freely and voluntarily?”

“Yes,” he replied, dressed in jail clothes.

Defense attorney Christopher Andreoff didn’t explain Fata’s decision and later declined to comment when reached by phone. He told the judge that he and Fata had met more than 50 times to discuss the evidence.

Patients and relatives of former patients were stunned when charges were filed 13 months ago. They protested against Fata on the courthouse sidewalk and still regularly meet to swap stories.

His cancer clinic, Michigan Hematology Oncology, had seven offices and a related business that performed tests to look for cancer. The government says Fata submitted about $225 million in claims to Medicare over six years, about half for chemotherapy and other cancer treatments. Medicare paid more than $91 million, and private insurers were billed, too.

Jeff Berz, of Utica, said his father, Milton Berz, died in 2008, a year after being diagnosed with leukemia. He recalled the 81-year-old getting treatments while sitting in Fata’s parking garage.

“Dr. Fata told my dad it would make it easier. His kidneys eventually failed,” Berz said. “Did the drugs kill him or the cancer? I don’t have any definitive answers, but I do have my suspicions. Every time I turn around, I’m running into somebody who knows somebody who was treated by Dr. Fata. This is so widespread.”

Fata will be sentenced on Feb. 23. Any trial on the remaining charges won’t be held until next year.

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Copyright 2014 The Associated Press. All rights reserved. This material may not be published, broadcast, rewritten or redistributed.

Don’t Settle for Student Loans to Pay for Online Education

Online college programs are becoming a more popular choice for prospective students, with one study finding that more than 6 million students enrolled in at least one online course in fall 2015. The popularity of these courses can be attributed in part to their flexibility with working adults' schedules, students' ability to progress more quickly through online programs and, oftentimes, cheaper tuition. [See 10 low-cost online bachelor's programs for out-of-state students.]Online degrees can be beneficial to many college students, but some studies have shown online learners complete their programs at lower rates than students at traditional brick-and-mortar campuses. Individuals with student loans but no degree comprise two-thirds of defaulted borrowers. Though these numbers are not encouraging, just like for traditional programs, there are ways to reduce how much you'll need to borrow for an online program to ensure you won't become one of these statistics. 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If you're not working toward a credential, Pell Grants and work-study won't be option, but you may still be able to take advantage of private scholarships -- just be sure to read the eligibility criteria carefully. [Explore what to know about financial aid in online programs.]-- Pay as you go: One of the great benefits to enrolling online is the flexible schedule, which can allow you to complete your college coursework around your responsibilities. But prospective students often overlook using their part- or full-time job earnings as an option for paying for college. Almost 80 percent of college students in 2015 worked at least part time while attending classes, according to the National Center for Education Statistics. By budgeting and thinking strategically about your college costs, you can likely reduce your dependence on student loans by paying a portion out of pocket. 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