Oct 9, 2002 1 min read

A Fayette City man has pleaded guilty in federal court to charges of mail fraud and willful failure to file a tax return. According to U.S. Attorney Mary Beth Buchanan, Mark D. Shipley, 41, of 105 Adams Drive pleaded guilty to two counts before Senior U.S. District Judge Maurice B. Cohill.

A news release from Buchanan’s office said that Shipley was the owner of Medical Ambulance Service in Perryopolis and Carmichaels.

Shipley submitted medical claims and received compensation from Medicare and Medicaid for ambulance services that were unnecessary, the release said.

In addition, Shipley was not entitled to payments from Medicare or Medicaid because of a prior conviction on Dec. 27, 1988, for Medicaid fraud. Shipley was not able to bill the services after the conviction, which he still did by using other parties as pretend owners of his companies, according to the release.

Buchanan also noted in the release that Shipley failed to pay taxes on the money he illegally received from both Medicare and Medicaid in 1998 by not filing a return that year.

Cohill scheduled sentencing for Jan. 29, and the law provides for a six-year prison sentence, a $350,000 fine or both.