ST. LOUIS — A St. Louis county man and Alabama woman are accused of engaging in an illegal kickback scheme involving lab tests for seniors.
Timothy C. Peoples, 56, and Willie Ann Cleveland, 41, are each facing one count of conspiracy to receive and pay health care kickbacks. Both have plead not guilty on the federal charge.
From 2017 to 2024, Peoples collected biological specimens for genetic and COVID-19 testing, primarily from Medicare patients at senior citizen centers in eastern Missouri, the indictment said.
Cleveland introduced Peoples to laboratory personnel so they could set up a kickback scheme, the indictment said, adding that Peoples and Cleveland created sham contracts to conceal the kickbacks as a “monthly flat marketing fee.”
Cleveland received $9,000 from a laboratory on March 1, 2022, and wired $7,000 to Peoples three days later, according to one allegation in the indictment.
The indictment also said Cleveland and Peoples offered to pay a physician a $100 kickback in exchange for each lab test ordered.
Finally, the indictment accused both Cleveland and Peoples of lying to federal agents who were investigating.
The Office of Inspector General investigated the case. Assistant U.S. Attorney Derek Wiseman is prosecuting the case.
The conspiracy charge is punishable by up to five years in prison, a $250,000 fine or both prison and a fine.
