doctor in handcuffsThe case brought by the Department of Justice against Dr. Rene de los Rios of Miami, Florida, succeeded not only in sending the physician to jail for 20 years for systematically defrauding Medicare, but also in exposing the dark underside of the entire Medicare system itself. The sentence meted out by U.S. District Judge Joan Lenard was the second most severe sentence handed out to any doctor in South Florida, known as the “epicenter” of Medicare fraud. The dubious honor of the most severe sentence is held by Dr. Ana Alvarez-Jacinto, who was convicted of Medicare fraud in 2008 and is now serving 30 years behind bars.

moneyAmid all the sound and fury and the "high noon" drama surrounding the debt-limit deadline and the passing of a deficit reduction measure this week, one discomforting fact emerged: Federal spending will continue to increase and the national debt, now approaching $15 trillion, will grow, not shrink, over the next 10 years.

 Despite protestations from Jon Corzine (left), former New Jersey governor, that he has no interest in taking Treasury Secretary Timothy Geithner�s place if Geithner decides to step down, Corzine did manage to have a clause put into his company�s bond offering prospectus that if he did accept the position, bond holders would be paid an extra one percent interest, just in case.  Corzine now heads up MF Global Holdings Ltd. which is planning on selling $300 million of five-year notes which includes an unusual �key man event� clause which pays bondholders an extra one percent:

For some time conservative Texans, especially constitutionalists, have raised eyebrows at Rick Perry’s Texas Enterprise Fund (TEF). The Texas Governor’s website calls the fund a “development tool” providing the state’s leaders with a “deal closing fund,” but its administration is questionable and its existence unconstitutional.

Arizona has taken the problem of illegal immigration seriously. Like several other states, Arizona has not just focused on the illegal immigrants themselves. Those who profit by hiring illegal immigrants also face more rigorous state actions for their misconduct.  In 2007, Arizona passed LAWA or the “Legal Arizona Workers Act,” which provided for escalating legal sanctions up to the revocation of an employer’s right to do business if the employer knowingly hired illegal immigrants.