In January 2002, 42 federal agents entered the Westlake Village, Calif., headquarters of SDI Future Health Inc. to execute a search warrant that related to an ongoing investigation of the medical diagnostic test provider’s practices. They were looking for evidence of Medicare and tax fraud. But their actions led to a 9th Circuit ruling that could make it easier for such agents to execute corporate searches unchallenged.
Present at the 2002 search were SDI President Todd Kaplan and Vice President Jack Brunk, who both were indicted on related charges in 2005, along with SDI Future Health as a corporate entity. Following the indictment, Kaplan, Brunk and SDI moved to suppress evidence from the 2002 search, and in 2007 the U.S. District Court in Nevada (SDI ran clinics in Nevada) agreed that the search warrant was overbroad.
