ST. LOUIS – A St. Louis County man and Alabama woman appeared in federal court last Friday and denied operating a kickback scheme involving lab tests given to senior citizens.
Prosecutors with the U.S. Attorney’s Office for the Eastern District of Missouri said Timothy C. Peoples, 56, and Ann Cleveland, 41, were each indicted on August 7 and arrested on August 14.
The indictment alleges that from 2017 until Aug. 7, 2024, Peoples collected biological specimens for genetic and COVID-19 tests from Medicare patients at senior centers across eastern Missouri. Cleveland introduced Peoples to lab personnel so they could facilitate their kickback scheme. The duo created fake contracts and concealed the kickbacks as a “monthly flat marketing fee.”
Prosecutors said Cleveland received $9,000 from one lab on March 1, 2022, and wired $7,000 of that money to Peoples. The pair allegedly offered to pay one doctor a $100 kickback for every lab test he ordered.
The indictment also accused Cleveland and Peoples of lying to federal investigators.
Both Cleveland and Peoples were charged with one count of conspiracy to receive and pay health care kickbacks. If convicted, the charge carries a maximum five-year sentence and $250,000 fine.
