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NEWS from the Office of the New York State Comptroller
Contact: Press Office 518-474-4015

DiNapoli Statement on Guilty Plea in Federal Court of Cancer Care Provider

April 24, 2014

New York State Comptroller Thomas P. DiNapoli today issued a statement on the guilty plea in U.S. District Court by Joseph L. Junkovic related to a scheme to defraud the state Health Department (DOH), which was uncovered by DiNapoli’s office and prosecuted by U.S. Attorney Preet Bharara’s office.

“Joseph Junkovic shamelessly diverted $360,556 earmarked for cancer screening support to fund his opulent lifestyle of globe-trotting and gambling. This plea sends a strong message to others who might defraud the state. I commend U.S. Attorney Bharara and his staff for their work to bring Mr. Junkovic to justice, and I will continue to work with United States Attorneys and prosecutors statewide to combat corruption in the use of public funds.”

Junkovic, 49, faces up to 21 months in prison after pleading guilty to making false statements related to health care matters. He agreed to pay $360,556 in restitution.

Last year, DiNapoli referred an audit and investigation to U.S. Attorney Bharara, leading to charges that Junkovic, of the Bronx, through the not-for-profit corporation Cancer Service Network, Inc. (CSN), billed the state for thousands of hours that he did not work. Junkovic admitted to billing DOH for more than 24 hours a day for his “services” while he took overseas vacations, frequented casinos, and patronized high-end clothing stores.

This is the second federal guilty plea secured by U.S. Attorney Bharara, working with Comptroller DiNapoli, in two months. In March, Cheon Park pleaded guilty to federal mail fraud and agreed to pay $2 million in restitution in a matter stemming from the Comptroller’s examination of Bilingual SEIT and Preschool Inc.

DiNapoli encourages the public to help fight fraud and abuse. New Yorkers can report allegations of fraud involving taxpayer money by calling the toll-free Fraud Hotline at 1-888-672-4555, by filing a complaint online at [email protected], or by mailing a complaint to: Office of the State Comptroller, Investigations Unit, 14th Floor, 110 State St., Albany, NY 12236.