Real Name: Sheldon Weinberg
Aliases: None Known
Wanted For: Fraud
Missing Since: 1988
Details: Sheldon Weinberg and his two sons ran a successful free clinic for the poor in Brooklyn, but behind the scenes, they were defrauding Medicaid by submitting false billing claims, believed to be the biggest medicaid fraud in American history. Actuaries believe the fraud began in 1978, but it was not until 1986 that improbable medical statistics showed up in the medicaid payments, such as patients being billed for when the clinic was closed; children being treated for heavy alcohol addiction or women being treated for prostate cancer.
Sheldon Weinberg and his sons lived large on the taxpayers' dime, using the ill-gotten payments to reside in the choicest suites in New York City, acquire a fleet of classic cars and expand into high-risk investments. Investigators determined fraud when the employee records of the clinic were found, and some patients were interrogated, most claiming that they made one or two visits in the past year, not 50 or 60 like the billing statements said. In August 1986 the FBI closed in. In 1988, Sheldon Weinberg's sons Jay and Ronald were arrested and charged with grand larceny and conspiracy. They were convicted on all charges; Ronald was sentenced to five years in prison, while Jay was sentenced to eight years in prison, plus additional years for tax evasion. Sheldon was also convicted of the charges; however, he and his wife fled before his sentencing. He is believed to be in Florida.
Extra Notes: This case first aired on the May 17, 1989 episode.
Results: Captured. On the night of the broadcast, an anonymous tip led FBI agents to Weinberg's apartment in Scottsdale, Arizona, where he was arrested. He was extradited back to New York to begin his seven to twenty one year sentence. At his sentencing hearing, judge Ruth Moskowitz heavily chastised Sheldon Weinberg over his abuse of the Medicaid system to pamper himself and his life. Authorities have recovered less than half of the money that Sheldon and his sons stole from taxpayers.
Sheldon Weinberg served sixteen years in prison before his release; he died in 2007 at the age of 83. Both Jay and Ronald Weinberg spent several years in prison; they have also since been released.