Former neurosurgeon’s bankruptcy trial halted due to new plea deal: 5 things to know

Former Billings, Mont., neurosurgeon John Schneider’s, MD, bankruptcy trial has been delayed to give his defense team extra time to reach a plea deal, according to the Billings Gazette.

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Here are five things to know:

 

1. After Dr. Schneider pled guilty to five counts of bankruptcy fraud last year, his trial was scheduled for Feb. 12. However, after negotiations with prosecutors, the neurosurgeon’s trial is set for April 9, with hopes a plea deal is signed before.

 

2. The plea agreement would settle a complaint a trustee filed against Dr. Schneider, accusing the neurosurgeon of breach of contract, fraud and negligent misrepresentation.

 

3. Dr. Schneider was charged with two counts of false statements under oath in relation to a bankruptcy proceeding, two counts of concealment of assets and fraudulent transfer of assets. The charges add up to a maximum penalty of up to five years in prison and up to a $250,000 fine.

 

4. The developing agreement has the prosecution receiving $60,000 from the liquidation of an account help by one of Dr. Schneider’s companies and Dr. Schneider promising not to file a claim for administrative expenses.

 

5. Dr. Schneider was illegally hired by the Department of Veterans Affairs’ Medical Center in Iowa City after having his license revoked in Montana. His case was reviewed after investigations of malpractice began. Dr. Schneider ultimately retired.

 

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