The Plan provided tax-free reimbursement of out-of-pocket medical care expenses incurred by former NFL players, their wives, and dependents because they were not covered by insurance. It can reimburse a maximum of $350,000 per player.
From June 2017 to December 2018, more than $3.9 million in false and fraudulent claims were submitted to the Plan. Out of those claims, it paid $3.4 million.
The superseding indictment alleged that the defendants submitted false and fake claims to the Plan for expensive medical equipment — typically worth around $40,000 to $50,000 per claim. However, the former NFL players submitted reimbursements for medical equipment that they did not purchase or receive.
Additionally, the superseding indictment alleged that McCune and others recruited other former NFL players to participate in the scheme to defraud the Plan. They allegedly enticed their colleagues with kickbacks and bribes ranging from a few thousand dollars and up to $10,000 per submitted false claim to the Plan.
