By GUY VOGRIN

Staff writer

YOUNGSTOWN — The ex-wife of the former Braking Point Recovery Center’s owner pleaded guilty Thursday to one count of conspiracy to commit health care fraud as part of a $48 million Medicaid scheme.

Jennifer Sheridan, 42, of Austintown, appeared teary-eyed before Ohio Northern District U.S. Court Judge Benita Y. Pearson with her attorney Paul Y. Shipp. Pearson, who dropped eight of the charges against Sheridan, ordered a background report be compiled on the woman before sentencing, scheduled for 1:30 p.m. Jan. 21, 2020, at the Thomas D. Lambros U.S. Courthouse.

Sheridan, who was the billing and medical records coordinator for Braking Point, and five others were accused of submitting thousands of fraudulent claims to Medicaid.

Three others, Dr. Thomas Bailey, 45, of Poland; former Braking Point medical director Dr. Arthur H. Smith, 55, of Austintown; and former Austintown office manager Kortney L. Gherardi, 30, of Girard all pleaded guilty to reduced charges earlier this week. Their sentencing also was set for late January before Pearson. Bonds for all four have been continued until sentencing.

Scheduled to appear before Pearson and expected to change their pleas are Braking Point owner Ryan Sheridan and Lisa M. Pertee, 51, of Sunbury, director of operations for Braking Point in Whitehall, a suburb of Columbus.

Ryan Sheridan, a Leetonia resident, was named in all 60 counts of the federal indictment, and court records show that the Sheridans would be responsible for more than $2 million in restitution.

Braking Point submitted approximately 134,744 claims to Medicaid for more than $48.5 million in services it claimed to provide between May 2015 and October 2017. The claims caused Medicaid to pay Braking Point more than $31 million. Medicaid suspended payments to Braking Point on Oct. 18, 2017, according to the indictment.

Prosecutors also are looking at a forfeiture of $3 million of property in Columbiana, Mahoning and Trumbull counties and eight automobiles — including replicas of vehicles used in the movies “Back to the Future,” “Ghostbusters” and “Batman.” Gherardi told the judge she does not own the property.

gvogrin@tribtoday.com