A former business associate of James Biden, the younger brother of President Joe Biden, has pleaded guilty to his involvement in a significant healthcare fraud scheme. Keaton Langston, 39, admitted to billing for unnecessary tests and orders through companies in which he had a financial interest, according to the Department of Justice.
The DOJ’s press release detailed the case:
A Mississippi man, Keaton Langston, owned, operated, or was affiliated with various pharmacies, durable medical equipment (DME) companies, and a laboratory. He has now admitted his role in a healthcare fraud scheme that resulted in losses to Medicare exceeding $51 million. Langston pleaded guilty before U.S. District Judge Michael E. Farbiarz in Newark federal court to conspiracy to commit healthcare fraud.
Court documents and statements revealed that Langston and his associates used these businesses to defraud healthcare benefit programs. They offered and paid kickbacks and bribes in exchange for doctors’ orders for DME, genetic cancer screening tests, and compounded medications. These orders were then submitted to Medicare for reimbursement without regard for medical necessity. The proceeds from these reimbursements, totaling approximately $51 million, were partly distributed as payments for the doctors’ orders generated through the conspiracy. Langston personally received about $10 million from these fraudulent activities.
Langston was previously closely associated with James Biden, although Biden is not understood to have been involved in the scheme.
According to the New York Post, Keaton Langston founded Fountain Health, a lab company, in May 2017. He offered its services to Americore Health, a rural hospital operator that later went bankrupt. Records indicate that James Biden was involved with Fountain Health in 2017 before connecting with Americore, which provided him with $600,000 in loans in 2018. James Biden allegedly promised to use his political connections to secure foreign investors and passed $200,000 of these funds to Joe Biden as a purported loan repayment.
Emails from July 2017 show Joey Langston, Keaton’s father, discussing a meeting for Fountain Health partners that included James Biden and Keaton. The emails mentioned James Biden’s discussions with a contact at Blue Cross Blue Shield and plans to proceed with union contacts made by James and Keaton.
James Biden is now attempting to distance himself from Langston. His attorney, Paul Fishman, has stated that James Biden “conducted himself ethically and honorably in all his business dealings,” despite allegations that he traded on the family name with foreign governments.
Keaton Langston faces up to 10 years in prison and a fine of $250,000. Sentencing is scheduled for October this year.