A doctor from Ocean Township is accused of writing illegal prescriptions for oxycodone.
Dr. Paul DiLorenzo, 60, was indicted on counts of conspiracy to distribute oxycodone, structuring financial transactions, conspiracy to launder money, and failing to collect and pay payroll taxes by a federal grand jury on June 26, according to a press release from U.S. Attorney Paul J. Fishman.
Between 2009 and June 2012, DiLorenzo allegedly issued prescriptions to conspirators for drugs containing oxycodone — the active ingredient in prescription medications such as OxyContin, Roxicodone and Percocet —outside the usual course of medical practice, according to the press release.
DiLorenzo reportedly charged patients $500 in cash for the first visit, $300 in cash for each successive visit and an additional $150 in cash for urine tests.
He reportedly employed three conspirators to act as “staff” at the office, despite none of them being medically trained, Fishman said. He allegedly provided one of his conspirators with blank prescription pads and stamps in order to generate prescriptions for purported patients. DiLorenzo would then sign the prescriptions, often without any medical examination or only a cursory exam, according to the allegations.
DiLorenzo’s conspirators would allegedly obtain the pills at pharmacies and then distribute them.
According to the press release, the doctor agreed to split the proceeds with some of his conspirators but never reported or paid any employment taxes.
DiLorenzo structured his share of the proceeds, depositing $1,090,939 in cash into various accounts via more than 150 separate transactions, Fishman said.
All but one of the deposits was for an amount less than $10,000, which is the amount that requires the filing of a Currency Transaction Report. A $10,044 cash deposit was accompanied by a deposit slip in the amount of $9,544. After being told by the teller that the amount was in excess of the limit, DiLorenzo allegedly attempted to cancel the deposit rather than file a transaction report.
DiLorenzo also accumulated $521,212.25 in cash that was found at this house and the house of his parents, the press release stated.
The count of conspiracy to distribute oxycodone carries a maximum penalty of 20 years in prison and a $1 million fine. The structuring count carries a maximum penalty of 10 years in prison and a $500,000 fine. The conspiracy to launder money count carries a maximum charge of 20 years in prison and a $500,000 fine. Each of the eight tax counts carries a maximum potential penalty of five years in prison and a $250,000 fine.