MA Psychiatrist Who Practiced In Natick Gets 8 Years On $19M Insurance Fraud Scheme

WELLESLEY, MA — A psychiatrist who owned a practice in Natick used proceeds from a multi-million dollar insurance fraud scheme to purchase million dollar homes in Wellesley and Nantucket, as well as $600,000 in jewelry from brands like Cartier, Van Cleef and Tiffany’s.

Now, that psychiatrist will begin a prison sentence of over eight years.

Gustavo Kinrys, 53, of Wellesley, was sentenced by U.S. District Court Judge Denise J. Casper to 99 months in prison, followed by three years of supervised release. Kinrys was also ordered to pay restitution and forfeiture in an amount to be determined at a later hearing.

In October 2023, following a jury trial, Kinrys was convicted of seven counts of wire fraud, six counts of false statements relating to health care matters, and one count of obstructing a criminal health care investigation.

According to officials, Kinrys was a licensed psychiatrist who owned and operated Advanced TMS Associates, located in Natick.

Among other services, Kinrys offered transcranial magnetic stimulation (TMS) therapy and psychotherapy to patients suffering from depression. TMS therapy is a noninvasive method of brain stimulation that uses rapidly alternating or pulsed magnetic fields to induce electrical currents directed at a patient’s cerebral cortex.

Between January 2015 and December 2018, Kinrys engaged in a variety of fraudulent billing schemes in which he sought and received reimbursement for services he did not render.

“Gustavo Kinrys lied to Medicare and private insurers, billing them for over $19 million worth of mental health treatments he never provided and then obstructed our investigation in an attempt to cover up his crimes. In doing so, Dr. Kinrys betrayed the trust of his vulnerable and mentally ill patients, and taxpayers, to fund a lavish lifestyle including a $2.1 million vacation home in Nantucket, and over $600,000 in expensive jewelry,” said Jodi Cohen, Special Agent in Charge of the Federal Bureau of Investigation, Boston Division.

“The FBI will continue to work with our partners to identify, investigate, and bring to justice anyone who tries to steal from this country’s vital health care system.”

For example, Kinrys billed Medicare and private insurers $10.6 million for thousands of TMS sessions he never provided, including over 8,000 sessions he claimed were provided to 74 patients who, in fact, never received a single session of the therapy.

Kinrys billed Medicare and private insurers for hundreds of thousands of dollars’ worth of psychotherapy sessions he never provided, including over 900 face-to-face sessions he falsely claimed he provided while he was on vacation in locations like the Bahamas, Punta Cana, Dominican Republic, and the Czech Republic.

On 382 occasions, Kinrys billed Medicare and private insurers for having provided more than 24 hours’ worth of psychotherapy services in a single day, including one day in July 2017 when he claimed he had provided hour-long psychotherapy sessions to 70 different patients – all while outside the United States on vacation.

To further his fraudulent billing scheme, Kinrys made numerous false statements to his patients, the billing company with which he worked and the insurers to whom he submitted claims seeking reimbursement.

When Medicare, private insurers and the Department of Health and Human Services (HHS) sought records from Kinrys pertaining to certain of his claims, he took steps to conceal his fraudulent conduct by making false representations and creating false documentation purporting to show that he had provided thousands of treatments he had billed for, but never rendered.

For example, in response to a July 2018 subpoena from the HHS’s Office of Inspector General seeking medical records for 10 of his patients, Kinrys created documents – and ordered his office workers to create documents – falsely stating that those patients had received dozens of treatments they had never been provided and falsely representing that the condition of those patients was improving.