Federal Charges Announced in Multi-Million Dollar Medicaid Fraud Scheme and Prescription Drug Diversion Conspiracy

Milwaukee, Wisconsin – Brad D. Schimel, First Assistant United States Attorney for the Eastern District of Wisconsin, announced charges issued in the Eastern District of Wisconsin as part of a strategically coordinated, nationwide law enforcement action. The first charge announced was against Jasmine Cooper, 37, of Brown Deer, Wisconsin, who is charged by information with health care fraud and aggravated identity theft in connection with a scheme to defraud Wisconsin Medicaid. As charged in the Information, Cooper, who was authorized to run a prenatal care coordination agency (PNCC) to assist at risk pregnant women and women with children, submitted thousands of false claims in which she claimed her company provided much-needed services that beneficiaries never received. Throughout the scheme, Cooper misstated the duration, frequency, date, and nature of services provided. Cooper submitted these false claims to Wisconsin Medicaid between 2019 and 2022. The Information also charges that as part of her scheme to defraud, Cooper committed aggravated identity theft by using the means of identification of another person without lawful authority. As a result of the scheme, Cooper submitted over $5.8 million in fraudulent claims to Wisconsin Medicaid, of which over $5.4 million was paid. On the same day that charges were filed, the United States also filed a signed plea agreement indicating Cooper’s intention to plead guilty to the charges. A change of plea hearing is scheduled for July 9, 2026, at 10:00 before the Honorable Chief District Judge Pamela Pepper. Cooper’s charges come on the heels of four similar schemes charged by the Eastern District of Wisconsin. Combined with the charges against Cooper, these fraudulent schemes have cost Wisconsin Medicaid over $15.5 million between 2019 and 2022. Cooper’s case, as well as the similar PNCC-related schemes were investigated by the Federal Bureau of Investigation with substantial assistance from the Wisconsin Department of Justice Medicaid Fraud and Elder Abuse Control Unit. The cases are being prosecuted by Assistant U.S. Attorneys Kate M. Biebel and Julie F. Stewart. The second charge was against Jerry Jones III, 70, of Mequon, Wisconsin. Jones was charged by information with conspiracy to distribute controlled substances. As alleged in the information, Dr. Jones was a medical provider authorized by the Drug Enforcement Administration to distribute controlled substances as part of a legitimate medical purpose. Instead, between January 2021 and September 2025, Dr. Jones conspired to distribute controlled substances such as amphetamine-dextroamphetamine, methylphenidate, buprenorphine, diazepam, lorazepam, alprazolam, and pregabalin outside the usual course of professional practice and not for a legitimate medical purpose. As part of the conspiracy, Dr. Jones distributed 12,885 pills of Adderall, 8,121 pills of Ritalin, 143,282 units of Schedule III controlled substances, 35,944 units of Schedule IV controlled substances, and 12,374 units of Schedule V controlled substances. On the same day that charges were filed, the United States also filed a signed plea agreement indicating that Dr. Jones intends to be plead guilty to the charges. A change of plea hearing is scheduled for June 29, 2026, at 11:15 a.m. before the Honorable Lynn Adelman. As part of the plea agreement Dr. Jones agreed to forfeit $294,850.72 in proceeds of the unlawful conspiracy