NEWARK, N.J. – A former New Jersey pharmacy owner was sentenced to 24 months in prison for his role in a health care fraud scheme to defraud Medicare, U.S. Attorney Robert Frazer announced.
Release Date
04/17/2026
Nestor E. Jaime, 37, of Pine Brook, New Jersey, previously pleaded guilty on November 19, 2025, before U.S. District Judge Katharine S. Hayden in Newark federal court to an Indictment charging Jaime with health care fraud. Judge Hayden imposed the sentence on April 15, 2026.
According to documents filed in this case and statements made in court:
From December 2019 to December 2021, Jaime, through a pharmacy he owned located in Paterson, New Jersey, submitted hundreds of false claims to Medicare for a high reimbursement (i.e., more than $4,000 per prescription) medication called Dificid, which the pharmacy never actually purchased or dispensed. Jaime submitted false claims on behalf of dozens of Medicare beneficiaries who never were prescribed any Dificid. To make it appear as though the Medicare beneficiaries’ health care providers had prescribed the medication, Jaime falsely included the providers’ unique provider numbers on the fraudulent claims. As a result of the scheme, Medicare paid Jaime reimbursements for false claims for Dificid totaling at least approximately $2.5 million, which Jaime spent on luxury vehicles and other personal expenditures.
In addition to a prison term, Judge Hayden sentenced Jaime to two years of supervised release and ordered Jaime to pay $2,505,754 in restitution.
The charge of health care fraud carries a maximum potential penalty of 10 years in prison and a $250,000 fine, or twice the gross gain or loss from the offense, whichever is greatest.
U.S. Attorney Frazer credited special agents of the Health and Human Services Agency Office of Inspector General, under the direction of Special Agent in Charge Naomi Gruchacz, and the Federal Bureau of Investigation, under the direction of Special Agent in Charge Stefanie Roddy, with the investigation.
The government is represented by Assistant U.S. Attorney Kruti D. Dharia of the Health Care Fraud and Opioids Enforcement Unit in Newark.
The Department of Justice has established the National Fraud Enforcement Division. The core mission of the National Fraud Enforcement Division is to zealously investigate and prosecute those who steal or fraudulently misuse taxpayer dollars. The National Fraud Enforcement Division will fulfill that mission by coordinating with agencies responsible for administering benefit programs; partnering with federal, tribal, state, territorial, and local law enforcement on fraud-fighting efforts; developing systems and processes that ensure efficient identification of fraud against taxpayer dollars; and equipping prosecutors and law enforcement with state-of-the-art tools and resources needed to bring criminal actors to justice. The attorneys in the National Fraud Enforcement Division will work every day to protect the financial integrity of our government and the tax system that supports it.
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Defense counsel: Anthony Iacullo, Esq.