A Long Beach dock worker pleaded guilty today to a federal charge of allowing phony claims to be submitted to his labor union’s health plan for the use of prostitutes under the guise of chiropractic services.
Cameron Rahm, 39, of Pico Rivera, entered his plea to a federal charge of conspiracy to commit health care fraud, according to the U.S. Attorney’s Office.
Sentencing was scheduled for April 25.
Rahm was among nine defendants — seven of them dock workers at the Port of Long Beach — who were charged last year for allowing more than $2.1 million in fraudulent claims to be submitted to their union’s health insurance plan for sexual services or for physical therapy that never was provided.
Some of the false claims were filed using the names of dock workers’ family members, including spouses and children.
The scheme’s ringleader, Sara Victoria, 46, of San Pedro, pleaded guilty to conspiracy and aggravated identity theft and is also expected to be sentenced in April.
Victoria admitted in her plea agreement to owning three businesses between 2017 and 2021 that provided sexual services as well as chiropractic and acupuncture treatments.
Knowing that longshoremen and others involved in the shipping industry in Long Beach had health insurance under the International Longshore and Warehouse Union-Pacific Maritime Association benefit plan that generally covered all chiropractic services without a deductible, co-pay or out-of-pocket expenses, Victoria offered the dock workers cash...
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