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Federal jury finds Eureka chiropractor guilty of Medicare, insurance fraud

A gavel rests on a judge's bench in a blurry courtroom. The text "WCBU Courts" sits on top of that photo.

A chiropractor from Eureka could face decades in prison after a federal jury found her guilty of defrauding Medicare and other insurance companies.

Carrie Musselman, 48, was convicted on one charge of health care fraud totaling more than $1.5 million, and five counts of wire fraud in furtherance of a scheme to defraud, according to a news release by the U.S. Attorney’s Office for the Central District of Illinois.

During the 13-day trial, the Justice Department presented evidence that Musselman disguised the identity of the people providing services and misrepresented the nature of the services provided.

Prosecutors said Musselman falsely claimed services were being provided by physicians when they were actually provided by nurse practitioners and physician’s assistants, resulting in automatic pay increases for Musselman and her practice.

She also billed for services that were not rendered, such as reportedly giving patients allergy injections when no such injections were administered. Instead, patients were provided with “experimental” oral drops that had not been approved by the Food and Drug Administration [FDA].

Musselman remains free on bond ahead of a sentencing scheduled for June 24 at the U.S. Courthouse in Peoria.

She faces statutory penalties of up to 10 years in prison on the health care fraud and up to 20 years for each of the wire fraud charges, followed by up to three years of supervised release on each count. The six convictions also carry up to $250,000 in fines.

Joe Deacon is a reporter at WCBU and WGLT. Contact Joe at jdeacon@ilstu.edu.