Special Assignments And Investigations

SACRAMENTO (CBS13) ― Student loans are something many of us have to pay back.

In a Call Kurtis Investigation, Kurtis Ming shows us some local doctors and dentists who have not paid back hundreds of thousands of dollars.

Doctor Susan Boulware didn't have much to say when we tried to talk with her about not paying back the more than hundred thousand dollars she owes in student loans and interest.

During our investigation, the therapist told a couple we sent in with a hidden camera business is good, and she's booked solid.

"Deadbeat docs, that's what they call them" said Dr. Donald Krpan. There are 1,100 of them across the country. Physicians, Psychologists and Dentists who have defaulted on paying back $146-million in a federally backed loan program called the health education and assistance loan.

Dr. Donald Krpan gets upset knowing what happens when doctors don't repay them.

"After a period of time, the lenders go to the federal government and say hey we want our money" said Krpan.

Kurtis asked, "Who ends up paying the tuition for these deadbeat doctors?"

Krpan answered, "The taxpayers."

Nearly a third of the money still owed comes from California doctors. 367 of them have loans totaling nearly $44 million.

"By in large, there is no reason these physicians not be involved in paying off these loans", said Krpan.

Sacramento area dentist Charles Benavidez left school seventeen years ago. As he practices at this Rancho Cordova office, the government says he owes more than $296,000 for his loans.

Physician Daniel Allen of Nevada City reportedly owes more than $319,000.

Then there's Sacramento marriage therapist Doctor Susan Boulware who left school in 1986, 22 years ago. We sent a couple in, with a hidden camera into a Doctor Boulware session.

At the end of the hour, she charged $160. But with business going well, the doctor hasn't found a way to repay the government.

While confronting Dr. Boulware he states, "You're charging $160 an hour for people to come in for you to treat them".

Boulware responded, "You don't have your facts straight"

Kurtis asked, "$143,000 isn't correct"?

Boulware responded, "Nope".

She's right. According to the government, it's actually $144,545. Dr. Boulware then drove off in a BMW.

Federal prosecutor Ken Newman heads up a team with the U.S. Attorney's Office that goes after defaulted doctors. His force recently quadrupled in size to get the money back.

Newman told Kurtis, "If you have a license and are licensed to practice you should be working it out with us, or we're going to take every step to get a judgment against you."

But even with a court judgment, some deadbeat doctors still refuse to pay up.

"That's when I get more riled up, and say we should be taking every step we can to collect on that" said Newman.

The government is finding creative ways to flush out the finances. "We have the authority to revoke the license to practice", said Krpan.

As Executive Director of the Osteopathic Board of California, Dr. Krpan's agency became the first in the state to threaten to take away a doctor's license if they didn't pay.

His first target, Herman Bell of Delano who owed nearly $950,000. "And it worked, he stipulated to start paying" said Krpan.

A few hours after confronting Dr. Boulware, she admitted to Kurtis over the phone to making mistakes. She blamed hardships she didn't want to make public.

She admits she's only paid 6-hundred dollars in 22-years and hasn't made a payment in more than a decade. Dr. Boulware says she wanted to pay more, but didn't know where to send the check.

Now that she knows, she plans to start sending in money.

And people like her better. Newman says the U.S. Attorney's Office is getting more aggressive and will raid doctors bank accounts, garnish wages, even take away their cars and homes.

"If we have to go find assets, we're going to be seizing assets", said Newman. He told Kurtis, they will end up with nothing.

Doctors Charles Benavidez, and Daniel Allen didn't return our calls for comment.

Doctor Boulware explained she only drives a BMW because it's a hand me down from her husband who she married a few years back.

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