Father and son cost California company $1.5 million in ultrasound scheme, feds say
Two men are accused of costing a California company $1.5 million after selling medical parts for their own profit, federal officials said.
Steven John Montanelli, 63, and his son Anthony Giovanni Montanelli, 34, of San Ramon, pleaded guilty to conspiracy to commit mail fraud on Tuesday, Jan. 18, according to a news release from the U.S. Attorney’s Office in the Northern District of California.
The two are accused of redirecting new, old and decommissioned ultrasound systems from Kaiser Foundation Hospitals and Health Plan, Inc. to the company they owned, Pacific Coast Imaging.
They are accused of selling ultrasound machines and parts through their company, costing Kaiser more than $1.5 million from 2010 until 2018, the news release states.
Defense attorneys for the father and son did not return McClatchy News’ request for comment.
As biomedical engineers for Kaiser, the father and son serviced ultrasound machine parts at hospitals and medical facilities in Northern California, according to the complaint.
Their job required them to request parts and return broken systems to the vendor.
During an internal investigation, Anthony Montanelli was accused of “falsifying” records by filling out spreadsheets with fake tracking numbers and shipping labels for ultrasound parts that weren’t ever returned to the vendor, the complaint states.
These tracking numbers were put into FedEx and UPS websites. As a result, 21 of 58 tracking numbers did not register and were invalid, the complaint states.
Prosecutors said the men stored the stolen devices and parts in rented storage units before leasing or selling the items to customers, the news release states.
Anthony Montanelli began returning the stolen equipment in 2016 after meeting with Kaiser investigators, prosecutors said in the complaint.
The mail fraud charge includes a maximum sentence of 20 years in prison and fine up to $250,000.
Anthony Montanelli will be sentenced on May 27 in Oakland. Court records did not list a sentencing date for Steven Montanelli.
This story was originally published January 19, 2022 at 11:04 AM.
