2 North Texans face health care fraud counts linked to U.S. military

DALLAS (AP) — Two North Texas men face health care-related fraud charges that prosecutors say cost a U.S. Department of Defense agency $65 million.

Richard Robert Cesario of Plano and John Paul Cooper of Southlake remained in custody pending a detention hearing Thursday in Dallas.

Both were arrested Tuesday on charges of conspiracy to commit health care fraud, receipt of illegal remuneration and payment of illegal remuneration.

The scam targeted TRICARE — DOD’s health system for military beneficiaries. The indictment says Cesario and Cooper operated a Dallas company that marketed compounded pain and scar creams. Neither man has medical licensing or education.

- FWBP Digital Partners -

Prosecutors say the company opened in 2014, ceased operations in mid-2015 and the alleged kickbacks scheme ran until this month.

Messages left with the company, CMG RX, weren’t immediately returned Wednesday.