This morning, more than 65 federal and local agents and officers led by HHS-OIG arrested the 14 health care practitioners, to whom radiology and diagnostic facility Orange Community MRI (“OCM”) allegedly paid monthly cash kickback payments in exchange for their referral of Medicare and Medicaid patients to OCM for testing services.

The defendants arrested this morning are scheduled to appear this afternoon before U.S. Magistrate Judge Madeline Cox Arleo in Newark federal court. OCM’s executive director, Chirag Patel, 36, of Warren, N.J., was arrested on Dec. 8, 2011, in connection with the scheme. He appeared that day before Judge Arleo and was released on a $750,000 bond.

HHI’s bankruptcy counsel TRENK, DiPASQUALE, WEBSTER, DELLA FERA & SODONO, P.C. was awarded $1,083,941.77 representing fees and expenses for the “First Interim Fee Application for the Period August 1, 2011 through October 31, 2011.”

During the bankruptcy process, newspapers and political blogs have reported allegations of bankruptcy fraud with respect to HHI and the Hoboken Municipal Hospital Authority. 

"Moreover, because the Hoboken Municipal Hospital Authority (and therefore, not the Debtor) is the holder of the Medicare Provider Agreement and is not in bankruptcy, any transaction regarding the transfer of its Provider Agreement with the Secretary must take place outside the scope of this court’s jurisdiction."

In related events, more than one creditor listed by Hoboken Healthcare, Inc. Debtor have filed OBJECTION TO THE DEBTOR’S MOTION FOR ENTRY OF AN ORDER APPROVING SETTLEMENT AND COMPROMISE claiming they have a valid, binding claim directly against the Hoboken Municipal Hospital Authority, a non-debtor, based upon a contract with the Hoboken Municipal Hospital Authority. 

Hayden and Cammarano appeared in U.S. District Court in Newark to find out the ex-mayor’s sentence, four months after Cammarano pleaded guilty to accepting $25,000 in illegal campaign contributions from an FBI informant who posed as a real estate developer.

His downfall became complete on Tuesday, in Federal District Court in Newark, where Mr. Cammarano, 32, pleaded guilty to accepting illegal campaign contributions in return for aiding proposed development projects. The youngest mayor in the city’s history, he served 23 days in that office last year before being arrested and charged, and eight more before resigning. He now faces a probable sentence of 24 to 30 months in prison.

Cammarano, 32, of Hoboken, appeared before United States District Judge Jose L. Linares and pleaded guilty to a one-count criminal Information charging him with conspiracy to commit extortion under color of official right. Judge Linares continued Cammarano’s release on a $100,000 bond pending sentencing, which is scheduled for August 3, 2010.  At his plea hearing, Cammarano admitted that, while he was an at-large Councilman for the City of Hoboken and candidate for the position of Mayor, he accepted three illicit cash campaign contributions totaling $15,000 from a cooperating witness (“CW”), who purported to be a real estate developer. Cammarano further admitted that on July 16, 2009, after he had been elected and sworn in as Mayor, he accepted an additional $10,000 illicit cash campaign contribution from the CW.

Dressed in a black suit, Cammarano pleaded guilty to one count of extortion conspiracy, admitting he accepted bribes from an informant posing as a real estate developer seeking favors.

By his plea, Cammarano became the highest-ranking official of the 17 who have pleaded guilty or been convicted since federal authorities rounded up more than 40 people last July in an investigation into money laundering and political influence peddling.

The 74-year-old Realtor and former burlesque queen showed no reaction as the jury foreman read the verdict convicting her on two of the six counts, but her daughter Bianca slumped in her seat in the packed courtroom yesterday afternoon.

Beldini is the first person to be convicted as a result of work done by FBI informant Solomon Dwek, who surreptitiously made audio and video recordings that resulted in 46 arrests last July, following a months-long probe into money laundering and corruption in New York and New Jersey.

"Caught on tape" were Leona Beldini, Edward Cheatam, Jack Shaw, and Jersey City Mayor Jerramiah Healy.

Beldini is accused of accepting $20,000 from Dwek in the form of illegal campaign contributions to Healy. Beldini faces up to 20 years in prison.