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March 19, 2013

London doctor’s license revoked

Faces sentencing for tax evasion on May 16

LAUREL COUNTY, Ky. — A London doctor accused of failing to pay federal income taxes has now been restricted from practicing medicine in Kentucky for two years.

Werner Grentz, 63, entered a plea agreement with the United States in U.S. District Court on Dec. 18. He was arrested on May 1, 2012 for failing to file tax returns on his income between 2005 and 2010, with earnings ranging between $169,000 and $356,000 each year.

Grentz’s plea agreement allows him to plead guilty to Count 5 of the indictment against him, in which he admitted to failing to pay more than $900,00 in taxes since 1999. He is scheduled for formal sentencing on May 16 and could face a maximum of five years in prison.

Due to this charge, Grentz’s medical license came under review by the Kentucky Medical Licensure Board, which regulates and disciplines medical licenses of physicians throughout the state. In the agreed order, Grentz must surrender his license to practice osteopathy in the state of Kentucky, effective immediately after the order was filed on Feb. 21, 2013. As part of the order, Grentz is prohibited from practicing any type of medicine or osteopathy for two years and cannot apply for reinstatement of his license without the medical licensing panel’s approval. If he does decide to ask for a reinstatement, Grentz may fall subject to mandatory assessments and evaluations at his own expense and must assist the Panel in determining whether to reinstate his license.

If, for any reason, Grentz violates the terms of the agreed order, he is subject to disciplinary action from the KMLB, which could include revocation of his license.

Grentz’s troubles began in 2002 when he received a letter from the IRS concerning his failure to pay income taxes on his income. In 2007, he was informed he was under investigation for tax evasion. Grentz worked as an independent contractor at a Jellico, Tenn. hospital as well as in a medical office in London, Ky. Although he was already the subject of an investigation, Grentz still did not file income taxes for several more years. Instead, he had his earnings deposited into bank accounts with company names, then withdrew money from those accounts on the same day or next day after being deposited.

njohnson@sentinel-echo.com

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