A PYMNTS Company

$3 million fine for three companies involved in NYPH kickback scheme

 |  July 12, 2012

Two individuals and three corporations have been sentenced by U.S. District Court Judge George B. Daniels for participating in a conspiracy to defraud New York Presbyterian Hospital (NYPH). Two of the companies, Cambridge Environmental & Construction Corp. (d/b/a National Environmental Associates) and Oxford Construction & Development Corp., were each fined $1 million. Their owner, Michael Yaron, was sentenced to 60 months in jail and a $500,000 fine. The president of an asbestos abatement company was sentenced to 48 months and a $500,000 fine.

Artech Corp. was fined $1 million. It was used as a front to receive kickbacks. The relative of former vice president of facilities operations at the hospital, Santo Saglimbeni, owned Artech. Saglimbeni and Emilio Figueroa, the former director of facilities operations at NYPH, awarded asbestos abatement, air monitoring and general construction contracts to the fined companies and individuals. In return, Saglimbeni and Figueroa received $2.3 million in kickbacks.

The DOJ is continuing to investigate kickback schemes and fraud at NYPH.

Full content: DOJ Press Release


Related contentHow DG Competition and U.S. DOJ Antitrust Division Hurt Compliance Efforts


Want more news? Subscribe to CPI’s free daily newsletter for more headlines and updates on antitrust developments around the world.