Opinion ID: 2967751
Heading Depth: 4
Heading Rank: 6

Heading: The Aequitron Invoices

Text: On several occasions, Ms. Bolden caused Emerald Health’s financial records to overstate expenses by making duplicative accounting entries, thereby double and triple-expensing certain purchases from a medical supplies company called Aequitron. In one instance, Emerald Health received invoices from Aequitron for medical supplies it had purchased, for approximately $2,000. Ms. Bolden misclassified these purchases as direct costs on Emerald Health’s accounting ledger and on the 1993 Cost Report. She then obtained duplicate invoices from Aequitron and expensed them a second time, again misclassifying the 15 The evidence at trial was that the salaries of the accounting clerks and the physician assistant were improperly reflected as direct costs on the 1993 and 1994 Cost Reports. Ms. Bolden’s salary, as well as that of the administrative assistant and the maintenance employee, relate to the sentencing proceedings only, and were included in Ms. Bolden’s fraud loss calculation. 14 UNITED STATES v. BOLDEN duplicates as direct costs on Emerald Health’s accounting ledger and on the 1993 Cost Report. On another occasion, Emerald Health purchased ventilator equipment from Aequitron, which invoiced the equipment for approximately $64,000. Upon receiving the ventilator equipment, Ms. Bolden had a Lessor pay Aequitron for it, and Emerald Health then leased the equipment from the Lessor. Ms. Bolden recorded the $64,000 Aequitron invoice on Emerald Health’s accounting ledger to reflect that Emerald Health had engaged in three such transactions. She then reported the three purchases of ventilator equipment as direct costs on the 1994 Cost Report.16