OIG AUDIT: June 1 – July 31, 2018 Houston CEO Gets More than 19 Years in Prison for $14 Million Health Care Fraud Scheme

Houston CEO Gets More than 19 Years in Prison for $14 Million Health Care Fraud Scheme On June 1, 2018, Jeffrey Rose, the CEO of Team Work Ready (TWR), was sentenced to 233 months in prison and ordered to pay more that $14.5 million in restitution for his role in defrauding DOL’s Office of Workers’ Compensation Programs (OWCP). 

A federal jury convicted Rose, along with his wife—Chief Financial Officer Pamela Annette Rose—and the clinic’s vice president of operations, Frankie Lee Sanders, of a health care fraud scheme on October 17, 2016. Team Work Ready, Inc. Office Building TWR had 10 clinics located in Alabama, Georgia, Louisiana, Memphis, and Texas. Rose and others conspired to submit false and fraudulent claims to OWCP for physical therapy services never provided. Claims were submitted for one-on-one physical therapy when patients were playing video games, independently using treadmills and bicycles, participating in group aqua therapy, and watching television. 

One patient testified that unlicensed staff told him to do exercises on both of his arms although he had injured only his left elbow and to use the electronic massage chair and the treadmill for his injury. Testimony from former TWR employees revealed that the Houston clinic had as many as 30 to 60 patients a day and that employees did not know what the patients were doing in the main treatment area because they were busy in the back doing massages.

Semiannual Report to Congress, October 1, 2017 – March 31, 2018,

Office of Inspector General, Department of the Treasury