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La Jolla Cancer Doctor Pleads Guilty to Health Care Fraud

Dr. Joel I. Bernstein already entered a guilty plea to a misdemeanor count of introducing an unapproved drug into interstate commerce.

A prominent La Jolla oncologist and his corporate medical practice admitted importing unapproved foreign cancer drugs at a deep discount, dispensing them to unwitting patients, billing Medicare as if the drugs were legitimate and pocketing the profits, federal officials announced Wednesday.

Dr. Joel I. Bernstein entered a guilty plea to a misdemeanor count of introducing an unapproved drug into interstate commerce, a cancer drug called “Mabthera”—intended for market in Turkey—and administering it to patients.

The approved U.S. drug with the same active ingredient is Rituxan, which is used to treat lymphomas and leukemias such as Non-Hodgkin lymphoma and chronic lymphocytic leukemia.

Bernstein, 59, entered his plea on Jan. 15 was released pending sentencing, scheduled for April 16.

On Wednesday, the doctor's medical practice, Dr. Joel Bernstein M.D. Inc., pleaded guilty to health care fraud.

According to the plea agreement with the corporation, Bernstein's employees purchased $3.4 million of foreign cancer drugs, knowing the U.S. Food and Drug Administration had not approved them for use in the United States.

From 2007 to 2011, Bernstein's office purchased the foreign drugs for significantly less than market value in the U.S. and then submitted claims to Medicare at the full reimbursement price, according to court papers.

The plea agreement for the corporation calls for $1.7 million in restitution to Medicare, plus forfeiture of $1.2 million in profits.

Authorities said the cases against Bernstein and his practice are the latest example of an alarming nationwide trend that potentially puts patients at risk by exposing them to foreign drugs—particularly injectable chemotherapy drugs—that are not vetted by the U.S. Food and Drug Administration.

—City News Service

hector a. olloqui January 24, 2013 at 02:51 am
dr.berstein never thing to hurt any body,hi's a good intencionaly save people .
plese let him work with is investigation continue.
Laura Shepard January 24, 2013 at 12:18 pm
I am a patient of Dr. Joel Bernstein. Yes, He did something wrong but he still is an oncology genius, period. His peers have all stated as such over the years. There are several drugs out there not approved or yet approved for in the US that work. The article even states the ONE drug he used still had the same effective ingredient. Again, what he did was legally wrong but the man was an integral part of the team that saved my life from a very serious case of breast cancer. I will defend his medical care without a second thought.
Sherylynne January 24, 2013 at 12:39 pm
And what "restitution" will the unsuspecting CANCER-stricken patients get for placing their trust in this fraud and allowing him, unwittingly, to charge against their medicare benefits?? Have any of those patients deceased while in his "care?" Have any been helped by the illegal drug? Why is it ONLY about the money?? This man did not show one ounce of compassion or concern for those people afflicted with a terminal disease!!! They were only his "mark" and he was only a scam artist.
deborah Taylor January 24, 2013 at 05:31 pm
My LAST visit I complained of back pain and I quote "well don't bend over" he told me I was fine had 80% odds were in my favor "go live your life" Thank God my surgeon ordered a bone scan. In less than 18months my breast C had spread to my spine. I am currently under a different oncologist that I am very happy to be in his care. My husband and I found the staff at Dr Bernsteins to be rude and indifferent. People who choose the medical profession particularly oncology should have compassion and understanding. I witnessed many patients coming and going without so much as a kind hello. Most of the time they were on FB or shopping online. I was there to fight for my life so I had my priorities. inexcusable ethical practices I was up all night wondering what else was going on while I was under his "CARE" I am so disgusted
CathyF. January 24, 2013 at 06:28 pm
My husband is a patient of Dr. Joel Bernstein. Dr. Bernstein is an awesome doctor, who is very compasionate, highly educated and stays current on the best and latest treatments for cancer. He cares deeply for his patients. My husband is here today because of him. There are cancer drugs available that the FDA has not approved, however, they work. He may have done something legally wrong; however, maybe the FDA should get on the ball, make the approval process more efficient, and approve drugs the world is using without Big Pharma dictating which ones will be approved or not. We will continue to stand behind Dr. Bernstein and seek his care.
Newaukumgolfer January 24, 2013 at 07:19 pm
SOUND LIKE HE IS A SAINT?
Laura Shepard January 24, 2013 at 08:36 pm
Not a saint but overall an damned good doctor who is human. I am sorry that Deborah Taylor had that bad experience. He is not the only doctor who has been wrong in their follow up. I am a member of a few support groups and we have those kind of stories about several doctors in San Diego. For many he IS an excellent doctor and I like Cathy F. will stand behind him. In fact I and others will write letters to the court for his defense.
Laura Shepard January 24, 2013 at 08:42 pm
Thank god I was one of his "marks" or possibly I could have had a tomb "mark"er instead. Of course patients have died in his care as have others in other doctors care but the numbers show he has successfully treated far more that have lived. He has been highly respected by not just many of his patients but by his peers for years. I I....THANK GOD everyday that this "scam artist" was a part of saving my life.
Laura Shepard January 24, 2013 at 08:48 pm
I am so sorry for the experience you had. Dr Bernstein has not always been the warm fuzzy type. I can't believe that Regan or Elaine, in particular to ever have been rude and indifferent. Regan held my hand more times than I could count and Regan and the others always made time to follow up with any concerns I ever had. I am glad you found a doctor you are happier with.
Carl January 25, 2013 at 03:18 am
I can appreciate your affiliation feelings with a doctor that you feel saved your life. But that's not the issue here - it's that this guy lives in the US, works in the US and ... defrauded the US with one of the oldest tricks in the book used with everything from caviar to auto parts: buy the stuff on the black market for cheap then claim its the "real stuff" bought for the official price and pocket the difference. No, he didn't save his patients any money and thus didn't do them a favor. He did it for his own gain. Yeah, maybe the drug is the same but...did he actually do his own efficacy tests for the doses he bought? What were the expiration dates? Did the stuff first spend a year in an overheated werehouse? Would you want(or did you???) this mystery-background stuff injected into your body?
My wife was treated by this guy, thankfully without chemo although we discussed it with him as an option. I sure don't remember his saying anything about getting a drug rebate. So ultimately he's just caused all our future medical insurance payments to rise due to fraud. Thanks Ex-doc!
jbondberger January 25, 2013 at 02:10 pm
As his patient, my concern is his failure to inform, discuss and obtain consent from those receiving the drug without FDA approval. The active ingredient was listed on the label. That's great but without FDA approval there is a potential risk that the drug was not stored or transported at the appropriate temperature range for example. I want complete confidence that my physician and his staff have my best interests at heart and now sadly this incident has damaged my trust. Additionally, I assume the oncology nurse participated in ordering the chemo agents. If so, and she knowingly participated in this scheme, then the State Board of Registered Nurses should conduct an investigation too. Thank you for listening.
jbondberger January 25, 2013 at 02:14 pm
From my husband:
I can appreciate your affiliation feelings with a doctor that you feel saved your life. But that's not the issue here - it's that this guy lives in the US, works in the US and ... defrauded the US with one of the oldest tricks in the book used with everything from caviar to auto parts: buy the stuff on the black market for cheap then claim its the "real stuff" bought for the official price and pocket the difference. No, he didn't save his patients any money and thus didn't do them a favor. He did it for his own gain. Yeah, maybe the drug is the same but...did he actually do his own efficacy tests for the doses he bought? What were the expiration dates? Did the stuff first spend a year in an overheated werehouse? Would you want(or did you???) this mystery-background stuff injected into your body? My wife was treated by this guy, thankfully without chemo although we discussed it with him as an option. I sure don't remember his saying anything about getting a drug rebate. So ultimately he's just caused all our future medical insurance payments to rise due to fraud. Thanks Ex-doc!
john taylor February 28, 2013 at 10:42 pm
I am so upset that this "doctor" put aside his oath for profit. Those of you that think what he did is forgivable need to wake up. He endangered everyone that took his illegal,possibly counterfeit, drugs. He did not do it for some higher purpose. He did it for profit, cheating the government. He should go to prison. He's a bad man, period. I am so afraid for my wife that he did not perform all that he could to treat her. Most visits, he popped in for a few minutes and made small talk about his dog and never seemed to be all that familiar with her case. A few general questions followed by a few rehearsed answers and off he went. He ought to be ashamed of himself and issue a public apology to all his past patients on his hands and knees begging their forgiveness, followed by a long prison term. Shame on him.
Mary Cloud April 14, 2013 at 08:43 pm
My favorite Dr. In the county. He is full of positive compassion and generous with his patients. The legal system in this country does not always reveal the facts. I have seen him walk out in the waiting room full of patients and kneel down in front of a very
I'll woman, cuddle her face in his hands, full of naked love. She responded to his gentle touch. There was no one else in the room. I am a breast cancer survivor and Dread the day when we are reduced to the robotic Drs. Of England's NHS which this Government so clearly wants. Mary Cloud
mescobareck May 18, 2013 at 04:31 pm
Dr. Bernstein is one of the top Oncologists in the country. He is caring, brilliant and compassionate. What he did was wrong but he never put his patients needs or health care over anything. He is the reason my husband and countless others I know are alive today. You can't believe everything you read and I'm sure there are other facts in this case that are not all plainly obvious. I for one will always stand by him as a brilliant and compassionate doctor.

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