A McAllen oral surgeon and six others are facing federal charges after being indicted in a kickback scheme for Medicaid recipients.
Federal agents arrested Gary Morgan Schwarz and four other suspects on Tuesday.
A federal grand jury handed down a sealed 22-count indictment against 57-year-old Schwarz and the others last week.
The Valley Oral and Maxillofacial Surgery (VOMS) clinic owner is accused of paying four area dentists to receive referrals for Medicaid recipients.
The clinic is located just north of Nolana Avenue at 4109 North 22nd Street.
Among the Tuesday morning arrests were Schwarz’s office manager Renee L. Thornton and treatment coordinator/personal assistant Magdalena Garza Cazares.
Schwarz was arrested at his McAllen home while Thornton and Cazares were arrested at the clinic.
Also arrested were dentists Willis David Egger of McAllen and Reynaldo Casares of Mission.
Schwarz, Thornton, Cazarez, Egger and Casarez all appeared before U.S. Magistrate Court Judge Dorina Ramos on Tuesday morning.
All five of them were released under a $100,000 dollar unsecured bond but Judge Ramos ordered Schwarz, Egger and Casarez cannot treat Medicaid or Medicare recipients at least until a July 7th hearing.
The U.S. Attorney’s Office for the Southern District of Texas said the indictment remains sealed because the two remaining dentists in the alleged scheme have not been arrested.
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