A Minnesota psychologist has been sentenced to two years in prison for fraudulently billing Blue Cross Blue Shield of Minnesota and the Shakopee Mdewakanton Sioux Community for over $800,000, the Star Tribune reported Sept. 28.
Charles Jorenby, 57, was a licensed psychologist and owned Life Dynamics in Prior Lake, Minn. He pleaded guilty to fraud in November 2022. According to the Star Tribune, Mr. Jorenby submitted claims for 29 members of the Shakopee Mdewakanton Sioux Community who he did not treat. He submitted their names and dates of birth without their knowledge.
The tribe paid Blue Cross Blue Shield of Minnesota to administer healthcare claims for tribal members. BCBS identified the fraud when it detected unusually high billing amounts from Mr. Jorenby and investigated them. The investigation found that on some dates Mr. Jorenby claimed to have provided services to clients he posted on his Facebook account that he was on vacation, the Star Tribune reported.
Mr. Jorenby was ordered to pay $819,000 in restitution to the Shakopee Mdewakanton Sioux Community. He will also pay $104,930 in restitution from a separate fraudulent claim to State Farm Insurance following a fire at his business office, where he claimed to have lost income he received from his fraudulent billings.