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Former Archbold CEO Ken B. Beverly Convicted of All Six Counts Related to Medicaid Fraud

By   /   December 11, 2010  /   Comments

The United States Attorney for the Middle District of Georgia, Michael J. Moore, announced that on December 8, 2010, Ken B. Beverly was convicted after a seven-day jury trial of six felony offenses related to Medicaid fraud and obstruction of justice.

Moore said, “Mr. Beverly’s conduct is an example of extraordinary greed. He was willing to try and fraudulently obtain money from a public program specifically designed to guarantee that those who need medical care but can’t afford it have a way to receive treatment. With the crisis in our health care system, this type of fraud and abuse is simply reprehensible.”

The trial took place in the United States District Court in Valdosta, Georgia, the Honorable W. Louis Sands presiding. Defendant Beverly was formerly the CEO and president of Archbold Medical Center and Archbold Memorial Hospital, Thomasville, Georgia, and served in those positions for over 20 years. Beverly was convicted of all six counts of the indictment:

Count One: Conspiracy to Falsify Records – 18 U.S.C. § 1519 /i/c/w § 371
Counts Two and Three: Falsification of Records -18 U.S.C. § 1519
Counts Four and Five: Obstruction of Justice – Witness Tampering – 18 U.S.C. § 1512(b)(1)
Count Six: Misleading Statements – 18 U.S.C. § 1512(b)(3)

Counts One, Two and Three of the indictment charged Ken Beverly with participating in, and committing acts in furtherance of, a conspiracy to falsely portray Archbold Memorial Hospital as a public hospital, controlled and owned by a governmental authority, in order to qualify for additional Medicaid funds. In fact, Archbold Memorial Hospital is, and always has been, a private, not-for-profit hospital. Defendant Beverly conspired with former CFO William Sellers to create fictitious documents showing the City of Thomasville Hospital Authority owned and controlled Archbold Memorial Hospital. Beverly directed Sellers to send these fraudulent documents to the Georgia Department of Community Health in order for Archbold Memorial to receive funds as a public, rather than a private hospital. Federal Medicaid officials had requested proof of Archbold’s public status.

Counts Four and Five of the indictment charged Beverly with witness tampering by attempting to induce Sellers to remain silent about Beverly’s role in the conspiracy in exchange for Beverly’s efforts to protect Seller’s retirement benefits.

Count Six charged Beverly with making misleading statements in a civil deposition when questioned about the fraudulent documents.

Count One carries a maximum term of imprisonment of five years, a maximum fine of $250,000.00, and three years supervised released. Counts Two through Six each carry a maximum term of imprisonment of 20 years, together with supervised release of three years, and a maximum fine of $250,000.00, per count.

Defendant Beverly remains released on bond pending sentencing, which is expected to take place in about sixty days at a time set by the court.

This case was prosecuted by the Assistant United States Attorney Jim Crane, together with Federal Bureau of Investigation Special Agent Steve McDermond.

Any questions concerning this matter should be addressed to Sue McKinney, Public Affairs Specialist, United States Attorney’s Office, at (478) 621-2602.

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  • Published: 1721 days ago on December 11, 2010
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  • Last Modified: December 11, 2010 @ 12:50 pm
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  1. Truth B Known says:

    And there are more out there doing the same thing.And that makes it so much harder for someone who really needs it to get it.Not only with this system,but food stamps,Home rental payments,help with light bills.I had one lady tell me,and she was mad.They had went up on her rent(her landlord),She went to the landlord and told him that becuase he raised her rent,that cut down on what money she got to help with her light bill.But at the same time it gave her more foodstamps.Whats wrong with this picture?And what right did she have to be mad? It is hard on everyone right now,taxes,going up,so the landlord has to ajust some way.Not to mention,the landlord has to carry insurance.And then most of the time when people move out of the home,if you dont have to evict them,they can leave the landlord with damages that they have to pay for before they can rent again.Sure you can file papers to get them out of the home,but that price just went up.And when the landlord goes to court,there is no promise he will get payed for damages,or left over rent,after all they dont have to pay the rent,they have someone doing it for them.Us the tax payers.And people think you are rich because you have a home to rent.It is more troble than it is worth.And you no where near break even,becuase then you have to file taxes on the home you rent.So that really eats away at all the rent you may get.And they dont judge on what you had to do in repairs,they just count what you made that year on the home,or homes.What a life.It really makes it hard for someone who really needs the help get it.

About the author

Owner / Editor / Writer

Tom Knighton is the publisher of The Albany Journal. In November, 2011, he became the first blogger to take over a newspaper anywhere in the world. In August of 2012, he made the difficult decision to take the Journal out of print circulation and become an online news agency, a first for the Albany area.

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