> An Arizona man was sentenced Friday to 15 years in prison and ordered to pay more than $452 million in restitution for conspiring to defraud Medicare and other federal health care benefit programs of more than $1 billion by operating a platform that generated false doctors’ orders used to support fraudulent claims for various medical items.
I wish all headlines read like this instead of "here's why you should be scared"
I think fraudsters should have to work off the money they stole at prison wages…punishments are supposed to be deterent and prevent people from commingting crime…don’t seal a billion dollars becasue IF you get caught you will have to pay back half is not a deterent…BUT if they have to pay off a billion dollars at 13-52 cents/hour…that is a deterent!
That sounds like something you’d read in a Facebook comment. This is government-sanctioned slavery, and I strongly doubt that it would serve as a deterrent. People routinely put much more on the line for much less.
There’s a lot of research of people for whom punishment obviously didn’t act as a deterrent, and unsurprisingly this research concludes that the prospect of punishment doesn’t act as a deterrent.
There is no research I’m aware of on people for whom the prospect of punishment did act as a deterrent (i.e. people who decided not to commit the crime).
So I argue that there is a very big selection bias in literature surrounding the effectiveness of punishment as a deterrent .
First there’s already government sanctioned slavery for the poor. At least it feels more like poetic justice for it to be applied to white collar crime and maybe that might spur changes to make prison labor more restorative rather than exploitative.
Ah then I trust you are completely aware that federal prisons already make prisoners work for their keep, and the privatization of prisons and their lobbying has led to a vicious cycle of imprisonment for cheap prison slave labor?
Of course, those prisoners aren’t billionaire healthcare CEOs, so maybe not…
At that rate you can pay back maybe $1000 per year, so if you’re only going to live 30 more years there’s no difference in punishment between 30k in fraud and a billion dollars in fraud. Punishment is the same, so might as well scam more.
The movie Heat addresses this scenario in the opening scene. A guard is shot 'accidentally' during a robbery even though they didn't intend to kill anyone. At that point they killed all the guards because 1 guard or 3 guards, it had become a capital murder crime so might as well not leave any witnesses.
They should absolutely pay the money back. But why prison wages? Let they produce what they can, and pay back, with interest and all you want. I think it is more important that they are able to "undo" the damage, as to make they suffer.
The problem is that fraudsters won't be "producing", but instead will be stealing from others. They need to be in prison not because it's a punishment but because they cannot be trusted to participate in society honestly.
However, I don't think it's practical to get fraudsters to pay back all the money in most cases as they won't be able to. What we need is a faster way to detect and imprison fraudsters to limit the damage they do. Also, most people don't respond to the "size" of punishments, but more to the likelihood that they will be caught.
Slavery as punishment is actually allowed by the constitution...
AMENDMENT XIII
Section 1.
Neither slavery nor involuntary servitude, except as a punishment for crime whereof the party shall have been duly convicted, shall exist within the United States, or any place subject to their jurisdiction.
Just to play devil's advocate, you're okay with forcing a criminal to sit in a room for the rest of their life, but you're not okay if they also have to work for society during that timeframe. What is the main argument why the first case is okay and the second is not.
Ok, so they have to. Or else what? Back of the envelope, it would take somewhere between 200k and 1 million years of 24/7 work to pay it back at that rate.
That might, maybe, make it more effective as a deterrent, and possibly as retribution, but it would be less effective for restitution (since it would take much longer for those defrauded to get paid back).
Fortunately we have a perfect justice system that never makes mistakes and never abuses their power, so let’s put all the convicts in prison for life for Mac deterrence!!
Seize the generational wealth they accumulated. Make their parents, siblings, kids, grandkids, cousins, etc. demonstrate how they earned their money and take every penny they can’t link to honest means.
The discussion around billionaires needs to move away from taxing their income and beyond taxing their wealth. We need to start talking about how much of their wealth we should be taking away. Light it on fire or delete it. The whole world will be better off.
So token enforcement despite widespread corruption, collusion, racketeering, and rapacious bankrupting of ill, dying, and dead patients and their families in-lieu of a functional healthcare system that isn't obsessed with maximizing shareholder value over lives. It's literally the most expensive deathcare the market will bear.
Seeing a lot of these pop up more recently, but this has been happening for a decade now apparently. Isn't this the fault of Medicare itself, of not having routine checks and better processes for preventing these fraudulent claims at the source?
If only the big scams are being caught (and we don't know what % are being caught), there's likely a lot more going undetected.
Meanwhile, we have the former governor of Florida and now Seantor from Florida Rick Scott, who was CEO of the company successfully prosecuted for the largest Medicare fraud in history ($1.7 billion) [1].
Here's what to watch: how long it takes for a donation to show up to the Trump library and how soon after that the sentence is commutted. This has erased roughly $1 billion in penalties so far since January 20. Hell, it might only take $1 million.
I wish all headlines read like this instead of "here's why you should be scared"
There is no research I’m aware of on people for whom the prospect of punishment did act as a deterrent (i.e. people who decided not to commit the crime).
So I argue that there is a very big selection bias in literature surrounding the effectiveness of punishment as a deterrent .
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Of course, those prisoners aren’t billionaire healthcare CEOs, so maybe not…
Dead Comment
However, I don't think it's practical to get fraudsters to pay back all the money in most cases as they won't be able to. What we need is a faster way to detect and imprison fraudsters to limit the damage they do. Also, most people don't respond to the "size" of punishments, but more to the likelihood that they will be caught.
And no, the severity of the crime does not (IMHO) justify it.
AMENDMENT XIII
Section 1. Neither slavery nor involuntary servitude, except as a punishment for crime whereof the party shall have been duly convicted, shall exist within the United States, or any place subject to their jurisdiction.
https://www.archives.gov/milestone-documents/13th-amendment
The discussion around billionaires needs to move away from taxing their income and beyond taxing their wealth. We need to start talking about how much of their wealth we should be taking away. Light it on fire or delete it. The whole world will be better off.
Deleted Comment
If only the big scams are being caught (and we don't know what % are being caught), there's likely a lot more going undetected.
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1. Arrest and convict scammer
2. Scammer pays bribe from ill gotten gains
3. POTUS profits and scammer let out of jail
Here's what to watch: how long it takes for a donation to show up to the Trump library and how soon after that the sentence is commutted. This has erased roughly $1 billion in penalties so far since January 20. Hell, it might only take $1 million.
[1]: https://www.justice.gov/archive/opa/pr/2003/June/03_civ_386....