Bean Town Times

A Westford woman was convicted on Friday, July 19, 2024, following a nine-day jury trial in federal court in Boston for her involvement in a home health care fraud scheme.

Faith Newton, 56, was found guilty of one count of conspiracy to commit health care fraud, one count of health care fraud, and three counts of money laundering. She was acquitted on one count of money laundering conspiracy. Sentencing will be scheduled at a later date. Newton was arrested and charged along with co-defendant Winnie Waruru in February 2021.

“Ms. Newton deliberately orchestrated a scheme to defraud MassHealth and took advantage of her patients and their families in the process. She chose to violate the trust of government agencies and the broader community to treat herself to million-dollar cash bonuses, a lavish house and a Maserati. This conduct is unacceptable, and she will now pay the price for her choices,” said Acting United States Attorney Joshua S. Levy. “Newton billed for countless patient visits that never happened or were unnecessary. Our office is committed to protecting patients and our health care system from fraud and deception, and we will continue to hold those illegal actors accountable for their actions.”

“Newton orchestrated a massive $100 million health care fraud scheme that targeted the Medicaid program, funding her lavish lifestyle at the expense of the American taxpayers,” said Roberto Coviello, Special Agent in Charge of the U.S. Department of Health and Human Services Office of Inspector General (HHS-OIG). “Today’s guilty verdict underscores the commitment of HHS-OIG and our partners to protecting the integrity of our federal health care system, and it should also serve as a stern warning to criminals who contemplate engaging in similar illegal schemes.”

“Faith Newton’s flagrant greed and theft orchestrated through her healthcare fraud scheme is disgraceful. The jury’s verdict further demonstrates IRS-CI’s commitment to not only protecting the American taxpayers but also the most vulnerable citizens,” said Harry Chavis Jr., Special Agent in Charge of the Internal Revenue Service’s Criminal Investigations Boston Field Office. “By stealing from MassHealth, Newton not only stole from federally-funded programs and taxpayers but she then used those proceeds to fund a lavish lifestyle for herself. As a direct result of Newton’s scheme, these programs had fewer available funds to assist individuals who truly needed help.”

“As Faith Newton’s greed and wealth increased, her elaborate $100 million home health care fraud scheme collapsed. For years, her company billed taxpayers for home health services they did not provide, were not authorized or were not medically necessary. She paid kickbacks, laundered illegal proceeds, and even bought a Maserati,” said Jodi Cohen, Special Agent in Charge of the Federal Bureau of Investigation Boston Division. “Our health care system is under constant attack by fraudsters who have pilfered billions of dollars from Medicare and other health care benefit programs. Today’s verdict should be a warning to others that committing healthcare fraud will not be tolerated.”

From January 2013 to January 2017, Newton was part owner and operator of Arbor Homecare Services LLC. Evidence presented at trial demonstrated that Arbor failed to train staff adequately; billed for home health services that were never provided or were not medically necessary; paid kickbacks for patient referrals regardless of medical necessity; entered sham employment relationships with patients’ family members; and routinely billed for fictitious visits.

Newton used laundered proceeds from the $100 million scheme to purchase personal luxuries including a house and a Maserati.

Co-defendant Waruru pleaded guilty in September 2022 for her role in the conspiracy and is scheduled for sentencing on Sept. 18, 2024 before U.S. Senior District Court Judge George A. O’Toole Jr.

Newton's previous trial began on June 26, 2023 but ended in mistrial during jury deliberations on July 10, 2023.

The charges against Newton each carry potential sentences up to ten years in prison along with supervised release terms and fines up to $250,000 or twice the amount involved in laundering activities.

Acting U.S Attorney Levy; HHS SAC Coviello; IRS SAC Chavis; FBI SAC Cohen made today’s announcement with Assistant U.S Attorneys Bill Brady & Christopher Looney prosecuting this case.