Georgetown Pharmacist Sentenced To Federal Prison For Medicaid Fraud

Friday, May 30, 2025, 6:45 A.M. ET. 1 Minute Read, By Art Fletcher: Englebrook Independent News,

FRANKFORT, KY.- On Wednesday, May 28, 2025, Justin Bell, 40, of Georgetown, Kentucky, appeared in the U.S. District Court for the Eastern District of Kentucky and was sentenced by U.S. District Court Judge Gregory Van Tatenhove to 4 months in federal prison, to be followed by 4 months of home confinement after pleading guilty to Submitting False Claims to Kentucky Medicaid.

     According to U.S. Attorney Paul McCaffrey and charging documents filed with the District Court, Bell was a pharmacist who owned and operated Georgetown Pharmacy. The pharmacy dispensed a variety of prescription medications to retail customers, including medicated pads that manage and prevent scars from burns and other skin injuries.

     These scar pads are expensive, and Kentucky Medicaid would reimburse pharmacies over $14,000 for a box of twelve pads. 

Bell Bilks Medicaid For Unnecessary Prescriptions

     In March and April 2020, Bell solicited unwitting Kentucky Medicaid patients to receive scar pads despite the patients not having a medical need for them. In some cases, patients received the pads without discussing them with their healthcare providers or using them. Bell’s Georgetown Pharmacy submitted eight claims for reimbursement to Kentucky Medicaid for the scar pads, which resulted in Medicaid paying a total of $118,621.28 for medically unnecessary prescriptions.

     Prior to Wednesday’s sentence, Bell had made restitution to Kentucky Medicaid. In handing down the sentence, Judge Van Tatenhove ordered Bell to pay a $20,000 fine. Bell will also be subject to two years of supervised release upon completion of his federal term of imprisonment.