The criminal misuse of the Medicare system. The crime consists of such behavior as filing false claims for Medicare reimbursement (such as for nonexistent patients, or services that were never performed), paying or receiving “kickbacks” for patient referral, and so forth. Fraud and abuse is a felony which may be punished by fines up to $25,000 or five years in prison, or both, and automatic suspension from participation in Medicare and Medicaid.