Lindsay Lohan‘s estranged father was arrested Friday in Florida on costs that he illegally took kickbacks for referring sufferers to a substance abuse remedy middle.
Michael Lohan, 60, was booked into the Palm Seashore County Jail on 5 counts of affected person brokering and one depend of conspiracy to commit affected person brokering, The Palm Seashore Put up reported.
Authorities mentioned a Delray Seashore-area drug remedy middle referred to as Delight Restoration paid greater than $27,000 in kickbacks to both Lohan immediately or to a enterprise he was related to, Lola Restoration Ventures of Palm Seashore Gardens.
Beneath Florida legislation, it’s unlawful for a well being care supplier to pay a fee for the referral of sufferers. The apply has been linked to quite a few cases of fraud during which rehab facilities get reimbursed for performing pricey and pointless checks 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 Seashore County State Lawyer Dave Aronberg mentioned in an announcement Friday.
Aronberg mentioned Lohan is the 117th individual arrested in reference to a activity power’s ongoing probe into affected person brokering within the space.
Lohan’s lawyer, Heidi Perlet, says her shopper denies the allegations.
“Michael Lohan has helped numerous people affected by habit points,” Perlet mentioned in an announcement to The Related Press. “Michael ought 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 fact, not the narrative put forth by the State Lawyer’s Workplace, comes out.”
Lohan has had a number of prior run-ins with the legislation, together with allegations of home violence. He appeared on Season 5 of “Celeb Rehab with Dr. Drew,” which aired on VH1 in 2011.
The Related Press contributed to this report.