CAMDEN, NJ – A retail director from a local candy company, Nicholas Tedesco, has been sentenced to 18 months in prison for defrauding New Jersey state health benefits programs. He submitted fraudulent claims for medically unnecessary prescriptions, resulting in a loss of over $2 million.
Nicholas Tedesco’s brother, Matthew Tedesco, who was also involved in the scheme, pleaded guilty earlier and is awaiting sentencing. Another co-conspirator, Christopher Broccoli, has pleaded guilty and is scheduled for sentencing.
Two doctors, John Gaffney and Brian Sokalsky, who played a role in the conspiracy, have also pleaded guilty and await sentencing. The scheme involved recruiting individuals in New Jersey to obtain expensive compounded medications that were unnecessary.
The prescriptions were authorized by Gaffney and Sokalsky. In addition to the prison term, Nicholas Tedesco will serve three years of supervised release, forfeit $782,767 in criminal proceeds, and pay restitution of $2.04 million.