Colorado Man Charged in Health Care Fraud Scheme

NEWARK, N.J. – A Colorado man who owned and directed a New Jersey-based allergy practice was indicted on health care fraud charges, U..S. Attorney Robert Frazer announced.

Clarence “Lance” Cutsforth, 58, of Buffalo Creek, Colorado, was charged in a six-count indictment with one count of conspiracy to commit health care fraud and five substantive counts of health care fraud. He made his initial appearances on October 21, 2026, before U.S. Magistrate Judge Scott T. Varholak in Denver federal court and was released on $10,000 unsecured bond.

“As alleged, this Defendant engaged in an elaborate scheme to enrich himself and his co-conspirators by submitting bogus claims to health insurers, including Medicare, for allergy shots that patients did not need or receive.  These charges further demonstrate our Office’s dedication to protecting American taxpayers by rooting out fraud, waste and abuse in the health care system.”

 – U.S. Attorney Robert Frazer

According to documents filed in this case and statements made in court:

From October 2020 through April 2023, Clarence “Lance” Cutsforth conspired with Dr. Kevin Chongsup Kim, also known as “Chong Kim,” Jin Kim, also known as “Andrew Kim,” and an individual identified in the indictment as “Doctor 1” to fraudulently bill Medicare and private health care benefit plans for allergen immunotherapy shots, despite the fact that no licensed physician examined the patient or prepared the allergy shots as required. Specifically, Cutsforth partnered with Chong Kim—who owned and operated a medical practice identified in the indictment as “Medical Practice 1”—and Andrew Kim—who worked at Medical Practice 1 as the practice manager, responsible for insurance billing. 

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