Clarence Lance Cutsforth

Introduction

Clarence “Lance” Cutsforth, 58, of Buffalo Creek, Colorado, was charged in a six-count indictment with one count of conspiracy to commit health care fraud and five substantive counts of health care fraud, U.S. Attorney Robert Frazer announced. Cutsforth, who owned and directed a New Jersey-based allergy practice, made his initial appearance on October 21, 2026 before U.S. Magistrate Judge Scott T. Varholak in Denver federal court and was released on $10,000 unsecured bond.

Background Information

From October 2020 through April 2023, according to documents filed in the case, Cutsforth conspired with Dr. Kevin Chongsup Kim, also known as “Chong Kim,” Jin Kim, also known as “Andrew Kim,” and an individual identified in the indictment as “Doctor 1” to fraudulently bill Medicare and private health care benefit plans for allergen immunotherapy shots despite no licensed physician examining the patient or preparing the shots as required. Cutsforth partnered with Chong Kim, who owned and operated a practice identified in the indictment as “Medical Practice 1,” and Andrew Kim, who worked there as practice manager responsible for insurance billing.

The Controversy or Incident That Led to Their Cancellation

Charged, not convicted. The indictment is an accusation; Cutsforth is presumed innocent unless and until proven guilty.

As alleged, Cutsforth identified insurance beneficiaries who tested positive for allergies and referred them to Integrated Ancillary Services, an allergy practice he owned in Holmdel, New Jersey. Cutsforth — not a licensed physician — would then determine the beneficiaries’ treatment plans and prepare their allergen shot doses himself. To conceal the scheme from insurers, the practice did not bill directly: Medical Practice 1 submitted reimbursement claims using either Chong Kim’s or Doctor 1’s medical credentials, even though neither examined the patient nor prepared or supervised preparation of the antigens. In that manner, the indictment alleges, the practice billed Medicare and private plans for up to a year’s supply of allergen shots for beneficiaries who did not want and/or did not receive them.

Public Reaction and Consequences

U.S. Attorney Frazer said in the announcement: “As alleged, this Defendant engaged in an elaborate scheme to enrich himself and his co-conspirators by submitting bogus claims to health insurers, including Medicare, for allergy shots that patients did not need or receive.” If convicted, Cutsforth faces a statutory maximum of 10 years imprisonment on each of the conspiracy and substantive counts, and a maximum fine of $250,000 or twice the gross gain or loss, whichever is greatest. The two Kims have already pleaded guilty before U.S. District Judge Zahid N. Quraishi to two-count Informations charging conspiracy to commit health care fraud and conspiracy to make false statements relating to health care fraud matters; both await sentencing.

Current Status

Cutsforth has been charged but not tried: he appeared in Denver on October 21, 2026, was released on $10,000 unsecured bond, and the presumption of innocence attaches to every count. The FBI, under Special Agent in Charge Stefanie Roddy in Newark, investigated the case, and Assistant U.S. Attorney Robert L. Toll of the Health Care Fraud and Opioids Enforcement Unit is prosecuting, with assistance from former Assistant U.S. Attorney Garrett J. Schuman. The guilty pleas of his alleged co-conspirators establish the pressure on the case but are not evidence against Cutsforth.

Impact on Their Career/Life

Cutsforth’s ownership and direction of Integrated Ancillary Services is the casualty the indictment targets: the alleged scheme ran through the practice itself, with a non-physician owner setting treatment plans and mixing shot doses before claims went out under other doctors’ credentials. Whatever the trial outcome, the practice’s insurer relationships — the alleged engine of the billing — are not recoverable in any form that survives the allegations, and the co-conspirators’ pleas mean the testimony about how the claims were made already exists under oath. For Medicare and the private plans involved, the case is another entry in the bill for allergy-shot billing that no physician ever supervised.

Sources

• U.S. Attorney’s Office, District of New Jersey, “Colorado Man Charged in Health Care Fraud Scheme” — source