Source: US FBI
KANSAS CITY, Mo. – A Stillwell, Ks., man was sentenced in federal court on April 29, 2025, for bankruptcy fraud related to his healthcare company.
William L. Said, 62, was sentenced by U.S. District Judge Greg Kays to 21 months in prison without parole. The court also ordered Said to pay $85,000 in restitution, which was paid at the time of sentencing.
On Oct. 1, 2024, Said plead guilty to one count of bankruptcy fraud. Said admitted that he fraudulently transferred and concealed assets in a bankruptcy case.
Said was the owner, president, and officer in charge of Restorative Brain Clinic, Inc., which provided Transcranial Magnetic Stimulation services. Restorative Brain Clinic, Inc. filed a voluntary bankruptcy case in July 2021. A debtor-in-possession account was established as part of the bankruptcy. Restorative Brain Clinic’s operating funds were stored in the debtor-in-possession account and Said was the only authorized person who had access to the account.
In Sept. 2021, the United States Trustee for Region 13, which includes the Western District of Missouri, filed a motion to convert Restorative Brain Clinic’s bankruptcy to a Chapter 7 liquidation case based on gross mismanagement of the estate and a continuing loss or diminution of assets of the estate. On Oct. 14, 2021, U.S. Bankruptcy Judge Dennis R. Dow presided over an evidentiary hearing on the conversion motion. At the conclusion of evidence, Judge Dow granted the motion to convert the case to a Chapter 7 bankruptcy and found there was mismanagement of assets, self-dealing, and inadequate corporate controls, among other issues. Judge Dow ordered the United States Trustee to appoint a Chapter 7 trustee to identify assets to pursue for unsecured creditors. The hearing concluded at 4:12 p.m.
Minutes after the conversion hearing, where Said was displaced as the fiduciary of the bankruptcy estate and the Bankruptcy Court ordered that Said no longer had control over Restorative Brain Clinic’s assets, Said initiated several wire transfers of money from the debtor-in-possession account. At 4:16 p.m., Said wired $5,000 to his own bank account from the debtor-in-possession account. At 4:25 p.m., Said initiated a wire transfer for $12,400 from the debtor-in-possession account to the bank account of a shareholder in Restorative Brain Clinic. Said also wired $16,300 to a medical staffing company and attempted to wire $5,760 to Restorative Brain Clinic’s landlord. The debtor-in-possession account was frozen before the funds to pay the landlord left the account.
Said also admitted to selling leased medical equipment. Restorative Brain Clinic leased medical equipment manufactured by AB Sciex, LLC in 2018. Said was also the owner of Cox Scientific, which sold medical equipment. In 2019, Cox Scientific agreed to sell AB Sciex medical equipment to a California company. Said sent an electronic invoice to the owner of the California company. The invoice contained a description of the equipment Said was selling along with an itemized list of the equipment’s components, which included a unique serial number for each component. The list of components Said sent to the California company were the same components leased by Restorative Brain Clinic. Said admitted that he scratched out and altered serial numbers on the AB Sciex equipment to conceal he was selling equipment through Cox Scientific that was being rented by Restorative Brain Clinic, Said. Then, Said used the altered serial numbers on the invoice to the California company.
The California company paid $85,000 for the AB Sciex equipment that Said sold to them and which Said did not own.
This case was prosecuted by Special Assistant U.S. Attorneys Bradley Cooper and Adam Miller. It was investigated by the FBI and the United States Trustee for Region 13.