Lindsay Lohan‘s estranged father was arrested Friday in Florida on expenses that he illegally took kickbacks for referring sufferers to a substance abuse remedy heart.
Michael Lohan, 60, was booked into the Palm Seaside County Jail on 5 counts of affected person brokering and one rely of conspiracy to commit affected person brokering, The Palm Seaside Put up reported.
Authorities mentioned a Delray Seaside-area drug remedy heart referred to as Pleasure Restoration paid greater than $27,000 in kickbacks to both Lohan straight or to a enterprise he was related to, Lola Restoration Ventures of Palm Seaside Gardens.
Underneath Florida regulation, it’s unlawful for a well being care supplier to pay a fee for the referral of sufferers. The observe has been linked to quite a few cases of fraud wherein rehab facilities get reimbursed for performing expensive and pointless assessments on sufferers who’ve medical health insurance.
“Affected person brokering corrupts our well being care system as a result of choices are motivated by greed as a substitute of a affected person’s wants,” Palm Seaside County State Legal professional Dave Aronberg mentioned in a press release Friday.
Aronberg mentioned Lohan is the 117th individual arrested in reference to a activity drive’s ongoing probe into affected person brokering within the space.
Lohan’s legal professional, Heidi Perlet, says her shopper denies the allegations.
“Michael Lohan has helped numerous people affected by habit points,” Perlet mentioned in a press release to The Related Press. “Michael needs to be applauded for his efforts in saving lives, not arrested for them. … Michael is wanting ahead to having his day in Court docket the place the entire reality, not the narrative put forth by the State Legal professional’s Workplace, comes out.”
Lohan has had a number of prior run-ins with the regulation, together with allegations of home violence. He appeared on Season 5 of “Superstar Rehab with Dr. Drew,” which aired on VH1 in 2011.
The Related Press contributed to this report.