CEO Jailed for Medical Fraud

CEO sentenced to eight years for COVID test fraud

Mark Schena, the CEO of Arrayit Corporation, was sentenced to eight years in prison and ordered to pay $24 million in restitution for defrauding investors and a scheme to commit health care fraud related to COVID-19 and allergy testing.
Schena lied about inventing a technology that could test for any disease with a single drop of blood and falsely claimed that Arrayit could be valued at $4.5 billion.
Despite Arrayit being on the verge of bankruptcy, Schena continued to defraud investors with false promises of multimillion-dollar contracts and other business developments.
He orchestrated an illegal kickback and health care fraud scheme, submitting fraudulent claims to Medicare and private insurance for unnecessary allergy testing, in violation of the Eliminating Kickbacks in Recovery Act.
In early 2020, Schena falsely announced that Arrayit had developed a COVID-19 test, and concealed from investors and patients that the test was not accurate enough to receive an Emergency Use Authorization for use the U.S.