BRUNSWICK -- The former vice president of a St. Simons Island
psychiatric firm pleaded guilty yesterday to conspiracy to bill
government health care programs for services never provided.
Michael E. Davidson, 33, pleaded guilty to a single count in
the 166-count federal indictment six days after his father,
Thomas E. Davidson, pleaded guilty to seven of the 156 counts
they faced together.
The elder Davidson had been the chief executive officer of
Shankman/Davidson Psychiatric Management Inc., where his son
oversaw filing claims to Medicare, Medicaid and the Civilian
Health and Medical Program of the Uniformed Services, an
insurance program for the Defense Department's civilian workers.
The government asserts much of the $5.25 million the company
received in payments between Jan. 1, 1989, and Dec. 1, 1995, was
the result of mail and wire fraud.
Thomas Davidson, 65, co-owned the firm with psychiatrist Andrew
S. Shankman. Shankman, 43, faces 115 counts, including wire and
mail fraud, conspiracy, money laundering and prescribing
narcotics for no legitimate purpose. If convicted, he could be
sentenced to 33 years in prison and fined $1.25 million.
A fourth defendant, chief therapist Mary Jane Pedrick, 50,
could be sentenced to 10 years in prison and fined $500,000 if
convicted on 90 counts that include conspiracy, and wire and
Their trial is to begin Tuesday in U.S. District Court in
Standing before Senior U.S. District Judge Anthony A. Alaimo
yesterday, Michael Davidson said the company had violated
federal regulations in its billing practices. …