A federal jury in Fort Worth, Texas, has returned a guilty verdict against a licensed professional counselor for his central role in an intricate, multi-million-dollar health care fraud and kickback scheme that targeted TRICARE, the health care program serving active-duty military personnel, veterans, and their families. The defendant, 64-year-old Kevin D. Curry of Frisco, Texas, was convicted on multiple counts of health care fraud, illegal kickback transactions, and money laundering following a comprehensive federal investigation.
The verdict highlights a deliberate exploitation of a federal health program designed to support military service members and their dependents. According to evidence presented at trial, Curry orchestrated a fraudulent billing operation that siphoned millions of dollars in taxpayer funds to finance an extravagant lifestyle characterized by luxury hotel stays, high-roller casino-themed parties, and a custom gold-plated Tesla Cybertruck valued at over $100,000.
Federal law enforcement officials and Department of Justice (DOJ) leadership praised the swift resolution of the case, emphasizing that the prosecution serves as a stern warning to individuals who seek to manipulate government-backed health insurance programs for personal enrichment. The conviction is the latest in a series of targeted actions by federal authorities to crack down on large-scale health care fraud across the United States.
Anatomy of the Fraud: How the Scheme Operated
Court documents and trial testimony revealed that Kevin D. Curry owned and operated a network of mental health facilities under the banner of Acuity TMS. This network included two clinics in Texas—Acuity TMS of Plano LLC and Acuity TMS of Fort Worth LLC—as well as a third facility in Florida operating as Emerald Coast TMS of Fort Walton Beach LLC.
Through these entities, Curry targeted active-duty service members, veterans, and military dependents, offering financial inducements to secure their participation in transcranial magnetic stimulation (TMS) therapy. TMS is a specialized medical procedure typically used to treat major depressive disorder and other psychiatric conditions by utilizing magnetic fields to stimulate nerve cells in the brain. However, the therapy delivered or billed by Curry’s clinics was frequently medically unnecessary or, in many cases, never provided at all.
To entice patients to consent to the treatments, Curry’s operation doled out more than $5.5 million in illegal kickbacks. These financial incentives were designed to bypass medical necessity guidelines and push individuals into undergoing procedures they did not qualify for and often did not receive.
Compounding the fraudulent treatments, Curry falsely held himself out to be a medical doctor despite only holding a license as a professional counselor. Operating without the necessary medical credentials to prescribe or oversee advanced psychiatric treatments, Curry illicitly obtained and utilized the identities of actual medical doctors without their knowledge or consent. He used these stolen credentials to validate prescriptions and submit fraudulent reimbursement claims to TRICARE.
Furthermore, when internal operations drew scrutiny or required documentation to pass audits, Curry systematically directed his clinic employees to fabricate medical records. These falsified documents were subsequently submitted to TRICARE to justify the fraudulent billings and maintain the illusion of legitimate medical practice.
Financial Toll and Money Laundering Tactics
The sheer scale of the operation placed a heavy burden on the federal health care system. Over the course of the scheme, Curry’s Acuity clinics submitted more than $26 million in false, fraudulent, and kickback-tainted claims to TRICARE. Based on these falsified submissions, the military health program paid out approximately $17 million in taxpayer funds.
Rather than reinvesting the capital into patient care or clinic infrastructure, Curry funneled the illicit proceeds into personal accounts to fund a lavish lifestyle. Federal prosecutors detailed how the defendant laundered the money through various transactions, spending substantial sums on luxury hotels, high-end entertainment, and conspicuous status symbols. Among the most notable purchases highlighted by prosecutors was a brand-new Tesla Cybertruck that had been customized with a striking gold-plated finish, carrying a price tag exceeding $100,000.
Trial Verdict and Facing Sentencing
The federal jury deliberated before convicting Curry on all counts brought against him. Specifically, the verdict sheet included:
- Three counts of health care fraud
- Three counts of offering and paying illegal health care kickbacks
- Three counts of engaging in monetary transactions in criminally derived property
Curry now faces a maximum statutory penalty of up to 10 years in federal prison for each count of conviction. A federal district court judge will determine the final sentence at a later date, taking into account the federal sentencing guidelines, the magnitude of the financial loss, and other statutory factors mandated by federal law.
Enforcement Actions and Multi-Agency Collaboration
The successful prosecution of Kevin D. Curry was the result of a coordinated, multi-agency investigation involving several federal and state law enforcement bodies. The announcement of the conviction was made jointly by Assistant Attorney General Colin M. McDonald of the Department of Justice’s National Fraud Enforcement Division, United States Attorney Ryan Raybould for the Northern District of Texas, and specialized field leadership from partner investigative agencies.
Key entities involved in dismantling the Acuity TMS network included:
- The Department of Defense’s Defense Criminal Investigative Service (DCIS), Southwest Field Office, under Special Agent in Charge Chad Gosch.
- The Federal Bureau of Investigation (FBI) Dallas Field Office, led by Special Agent in Charge R. Joseph Rothrock.
- The Texas Attorney General’s Medicaid Fraud Control Unit (MFCU), directed by Chief William Marlowe.
- The Department of Veterans Affairs Office of Inspector General (VA-OIG) South Central Field Office, overseen by Special Agent in Charge Kris Raper.
The trial prosecution was handled by Assistant U.S. Attorney Ethan Womble for the Northern District of Texas, alongside Trial Attorneys Adam Tisdall and Yael Mash of the Fraud Division’s Health Care Fraud Section.
Broader Government Strategy Against Fraud
The conviction arrives amid an intensified national focus on eliminating waste, fraud, and abuse within federal programs. In April, the Department of Justice announced the formal creation of the National Fraud Enforcement Division (Fraud Division), designed to maintain a laser focus on investigating and prosecuting individuals who perpetrate large-scale frauds against the American public.
This enforcement push aligns closely with broader executive branch initiatives, including President Trump’s Task Force to Eliminate Fraud. Chaired by Vice President J.D. Vance, the task force operates as a whole-of-government effort to root out systemic vulnerabilities and enforce accountability across federal benefit programs.
The DOJ’s Health Care Fraud Strike Force Program remains a cornerstone of these enforcement efforts. Operating nine distinct strike forces across federal districts nationwide, the program has successfully charged more than 6,200 defendants since its inception in 2007. Collectively, these defendants are accused of billing federal health care programs and private insurers upwards of $45 billion.
In parallel with criminal prosecutions, regulatory bodies such as the Centers for Medicare & Medicaid Services (CMS), working alongside the Department of Health and Human Services Office of the Inspector General (HHS-OIG), continue to implement administrative safeguards to hold medical and mental health providers accountable. These measures aim to tighten credentialing processes, enhance oversight of specialized therapies like TMS, and prevent unauthorized practitioners from exploiting public insurance systems.
Implications for Military Health Care and Oversight
The case of Kevin D. Curry underscores a profound vulnerability in administrative oversight regarding specialized outpatient treatments. Transcranial magnetic stimulation, while recognized as a legitimate therapeutic tool for treatment-resistant depression, requires strict adherence to clinical guidelines, patient eligibility standards, and qualified medical supervision.
By weaponizing a treatment modality designed to assist service members struggling with psychological and neurological challenges, Curry not only committed financial crimes but also compromised the trust essential to military healthcare infrastructure. Active-duty personnel and veterans rely heavily on TRICARE for critical support; incidents of systemic fraud divert vital resources away from those who have served and earned access to quality care.
Legal experts and healthcare analysts note that this case may prompt tighter scrutiny of independent mental health clinics billing federal programs, particularly those utilizing specialized or high-cost therapies. Increased requirements for provider verification, electronic health record auditing, and cross-agency data sharing between the Department of Defense, the Department of Veterans Affairs, and private insurance databases are expected to become standard preventative measures in the wake of the trial.
As federal courts prepare for Curry’s upcoming sentencing hearing, the case stands as a definitive reminder of the long reach of federal law enforcement and the collaborative resolve of state and national agencies dedicated to protecting public funds and the integrity of military support systems.
