CLEVELAND -- Two are accused of defrauding the Department of Veterans Affairs out of more than $110,000.
The U.S. Attorneys charged Mack J. Johnson, Jr. and Dawn Mungin with one count of conspiracy to commit health care fraud.
Johnson, 46, of Cleveland Heights, and Mungin, 47, of Bedford Heights, are accused of defrauding the Department of Veterans Affairs out of more than $110,000.
Johnson was the owner and operator of PRN Medical services, a vendor approved by the VA to provide durable medical equipment to veterans served by the Department of Veterans Affairs Medical Center.
Mungin was employed as a purchasing agent at the VAMC and her duties included procuring medical equipment.
The charge alleges that Johnson and Mungin conspired to defraud the VA by submitting false and/or inflated invoices from Johnson's company PRN, which Mungin, in her capacity as purchasing agent, would approve for payment.
For example, Mungin would inform Johnson of the bids other vendors had submitted for a particular project, allowing Johnson to outbid his competitors and ensuring that PRN would receive the VA contract.
After completing the VA contract for work, PRN would submit an invoice for an inflated amount or, in some instances, PRN would submit an invoice for work performed when no work was in fact completed.