MILWAUKEE — The owner of a now-defunct prenatal care coordination business was sentenced to 111 months’ imprisonment for her role in a federal healthcare fraud scheme, the U.S. Attorney’s Office for the Eastern District of Wisconsin announced.
On January 20, 2026, Chief United States District Judge Pamela Pepper imposed the 111-month prison term on Precious Cruse (32), following her conviction by a federal jury on multiple federal charges tied to a scheme in which she stole more than $780,600.07 from a Medicaid benefit program meant to aid at-risk pregnant women and women with young children.
Cruse was convicted on nine counts of healthcare fraud, two counts of false statements related to healthcare matters, two counts of violating the anti-kickback statute, one count of money laundering, and two counts of aggravated identity theft on September 22, 2025.
In addition to her prison sentence, Judge Pepper issued a money judgment of forfeiture in the amount of $780,600.07 and ordered Cruse to pay restitution to Medicaid in the same amount.
In announcing the sentence, Judge Pepper emphasized what she described as “significant and extensive” evidence of Cruse’s guilt and the substantial impact her scheme had on both taxpayers and the people the program was designed to help, noting that a lengthy sentence “was necessary … to send a message of deterrence to others considering engaging in fraud against hard-working taxpayers.”
United States Attorney Brad Schimel said the sentence and immediate remand into custody serve as “clear messages to anyone who steals from social service programs designed to help our most vulnerable neighbors: we are coming after you and you will be held accountable.”
FBI Milwaukee Special Agent in Charge Alan Karr added that “healthcare fraud schemes that exploit federal programs erode public trust and steal from the American people,” and that Cruse diverted resources meant for pregnant women and children.
The Federal Bureau of Investigation, along with the Medicaid Fraud and Elder Abuse Control Unit, investigated the case. Assistant United States Attorneys Julie F. Stewart and Kate M. Biebel prosecuted the matter on behalf of the government.
