Michael DeNicola

Introduction

Michael DeNicola, 64, is a podiatrist formerly based in New York who admitted a three-part federal case: defrauding Amtrak’s health care plan, unlawfully distributing controlled substances, and unlawfully possessing a firearm. He pleaded guilty on June 29, 2022, before U.S. District Judge Madeline Cox Arleo in Newark federal court to conspiracy to commit health care fraud, unlawful distribution of controlled substances, and unlawful possession of a firearm. On October 7, 2026, DeNicola was sentenced to 32 months in prison, three years of supervised release, and ordered to pay over $1.6 million in restitution and over $1.3 million in forfeiture, U.S. Attorney Robert Frazer announced.

Background Information

DeNicola was one piece of a far larger scheme targeting the Amtrak health care plan. That overall scheme involved dozens of Amtrak employees and multiple health care providers, who paid hundreds of thousands of dollars in cash kickbacks to Amtrak employees over the course of the scheme. In total, the Amtrak health care plan paid over $11 million in fraudulent claims associated with providers connected to the scheme. The investigation has resulted in the prosecution of nineteen individuals, including DeNicola, and all have pleaded guilty to conspiracy to commit health care fraud.

The Controversy or Incident That Led to Their Cancellation

Convicted and sentenced. DeNicola pleaded guilty to conspiracy to commit health care fraud, unlawful distribution of controlled substances, and unlawful possession of a firearm, drawing a 32-month prison term.

From 2019 to August 2021, DeNicola and his conspirators agreed to engage in a scheme to bill the Amtrak health care plan for fraudulent claims for services that either were never provided or were medically unnecessary. They recruited Amtrak employees to participate in the scheme by paying them to allow the conspirators to use their patient and insurance information to submit false and fraudulent claims, and those claims caused Amtrak losses of more than $1.6 million. DeNicola also provided oxycodone prescriptions to an individual in return for that individual’s agreement to allow his patient and insurance information to be used for fraudulent insurance claims, and he supplied oxycodone prescriptions to others at that individual’s direction, outside of the usual course of professional treatment and without legitimate medical purpose. From April 2017 through February 2018, DeNicola “issued 64 oxycodone prescriptions in this manner.” He also unlawfully possessed a firearm on Sept. 1, 2019, after previously having been convicted in a court of a crime punishable by a term of imprisonment exceeding one year.

Public Reaction and Consequences

U.S. Attorney Frazer credited special agents of the Amtrak Office of Inspector General, under the direction of Special Agent in Charge James Harper; the Amtrak Police Department, under the direction of Chief of Police James Cook; and special agents of the Drug Enforcement Administration, under the direction of Special Agent in Charge Frank A. Tarentino III in New York, with the investigation. The government is represented by Assistant U.S. Attorney Katherine M. Romano, Deputy Chief of the Bank Integrity, Money Laundering, and Recovery Unit in Newark. The release notes that “The Amtrak health care plan paid out over $1.6 million for claims associated with DeNicola.” That amount is matched by his restitution obligation and supplemented by more than $1.3 million in forfeiture.

Current Status

DeNicola’s case reached its final judgment on October 7, 2026, when Judge Arleo imposed the 32-month prison term, three years of supervised release, the restitution order of over $1.6 million, and forfeiture of over $1.3 million, more than four years after his June 29, 2022, guilty plea. He stands among the nineteen individuals prosecuted in the investigation, all of whom have pleaded guilty to conspiracy to commit health care fraud. He was represented by defense counsel Lorraine S. Gauli-Rufo, Esq.

Impact on Their Career/Life

The convictions leave the 64-year-old podiatrist facing 32 months in federal prison, to be followed by three years of supervised release, along with a combined financial judgment exceeding $2.9 million once the over-$1.6-million restitution and over-$1.3-million forfeiture are paid. Beyond the Amtrak fraud conspiracy, his record now includes unlawful distribution of controlled substances for the 64 oxycodone prescriptions he issued at an individual’s direction and unlawful possession of a firearm by a prior felony offender. A medical professional who traded prescriptions for insurance information now exits the case as a convicted federal felon headed to prison.

Sources

• U.S. Attorney’s Office, District of New Jersey, “New York Health Care Provider Sentenced to 32 Months in Prison for Role in $11 Million Health Care Fraud Scheme Targeting Amtrak, Drug Distribution, and Unlawful Possession of Firearm” — source