Five charged for defrauding medical nonprofit of $2 million
Five residents of Western Pennsylvania and Ohio are accused of defrauding a nonprofit medical organization upward of $2 million, the Department of Justice announced Friday.
The five were indicted on Thursday by a federal grand jury in Pittsburgh on 17 counts, including mail fraud, wire fraud, conspiracy to commit wire/mail fraud, and conspiracy to commit money laundering.
According to the indictment, they “combined” to defraud Primary Health Network, a nonprofit medical organization, of more than $2 million from 2011 to 2019.
The indictment names Drew Pierce, 55, of West Middlesex, Mercer County; Mark Marriott, 56, of Sharpsville, Mercer County; John Laeng, 70, of West Middlesex; John O’Brien, 60, of Masury, Ohio; and Christopher O’Brien, 58, of Masury, Ohio.
“Defrauding a nonprofit medical organization not only harms that organization, but it also does great indirect harm to the patients these organizations are created to help,” said acting United States Attorney Troy Rivetti. “Through the great investigative work of and partnership with our law enforcement partners, the U.S. Attorney’s Office is able to prosecute these matters to hold perpetrators of such crimes accountable.”
On each of the fraud counts, the maximum penalty allowed by law is 20 years in prison. On each of the charges of conspiracy to commit money laundering, the maximum penalty is 10 years in prison.
“Today’s indictment describes elaborate and egregious schemes to steal money from a nonprofit organization,” said FBI Pittsburgh Special Agent in Charge Mike Nordwall. “These arrests send the message that the FBI is committed to working with our partners to hold those accountable who think they can get rich through fraudulent means.”
Assistant United States attorneys William B. Guappone and Jeffrey R. Bengel are prosecuting this case on behalf of the government. The FBI and the IRS conducted the investigation.