California Physician Indicted in $45 Million Medicare Botox Fraud Scheme

Posted By Madilyn Moeller, Tuesday, December 23, 2025

Stacks of $100 bills

A Glendale physician, Dr. Violetta Mailyan, has been indicted by a federal grand jury on allegations of orchestrating a massive Medicare fraud scheme involving over $45 million in false Botox claims, according to the U.S. Department of Justice. 

From 2019 to 2025, prosecutors say she allegedly submitted fraudulent Medicare claims for Botox injections that were either medically unnecessary or never provided, including:

  • Dates when the clinic was closed or Mailyan was traveling abroad.
  • Dates when patients were away or incarcerated, including in federal prison.
  • Instances where she purported to treat patients who didn’t meet the clinical criteria for Botox under Medicare.

The indictment also accuses her of submitting falsified medical records in response to a grand jury subpoena, to make it appear that patients suffered from chronic migraines. She faces nine counts of wire fraud and three counts of obstructing a criminal investigation of health care offenses. If convicted, she could face up to 20 years in prison for each wire fraud count and five years per obstruction count. 

Medicare reportedly paid approximately $33 million of the fraudulent claims. The Department of Justice is seeking forfeiture of multiple properties, including six real estate units in Glendale and Surfside, California, plus a Tesla Model X, Cybertruck, and at least hundreds of thousands of dollars in various bank and brokerage accounts.

Botulinum toxin injections are among the most common aesthetic treatments in med spas, typically used to relax wrinkles on the forehead, between the eyebrows, and around the eyes. While these are FDA-approved medications administered for cosmetic purposes, these treatments are considered elective, not medically necessary, and are not covered by Medicare.

Botox may be billable under Medicare only for specific medical conditions, such as chronic migraines, spasticity, or facial dystonia, and only after conservative treatments fail. Claims must align with patient records, and staff must be trained to understand medical necessity criteria. Fraudulent billing can lead to severe consequences.