New York City Pharmacy Owner Pleads Guilty To Committing $8.5 Million Fraud On Medicare And Medicaid
Sajid Javed, owner of nine New York City pharmacies, pled guilty to conspiring to defraud Medicare and Medicaid of $8.5 million by paying kickbacks to individuals for unused prescriptions, resulting in false billings for non-dispensed drugs, and faces up to five years in prison with sentencing scheduled for August 24, 2018.
Sajid Javed pled guilty to one count of conspiracy to commit health care fraud for orchestrating an $8.5 million scheme between January 2013 and July 2015, during which his nine pharmacies billed Medicare and Medicaid for prescription drugs never dispensed. He induced patients to provide their prescription information in exchange for cash kickbacks, allowing him to submit fraudulent claims without ever filling the prescriptions. The fraud was uncovered during a nationwide Medicare Fraud Strike Force operation, investigated by the FBI and HHS-OIG, and prosecuted by the Southern District of New York’s Complex Frauds and Cybercrime Unit.
Sajid Javed, owner and operator of nine pharmacies in Brooklyn and Queens, pled guilty in Manhattan federal court to one count of conspiracy to commit health care fraud for orchestrating an $8.5 million scheme to defraud Medicare and Medicaid. From January 2013 through July 2015, Javed paid kickbacks to individuals who provided their prescription information but did not receive the medications, enabling his pharmacies to submit false claims for non-dispensed drugs. This fraudulent billing generated over $8.5 million in reimbursements from federal programs, exploiting public health care funds and putting patients at risk by diverting prescriptions from legitimate use. The scheme was uncovered as part of a nationwide Medicare Fraud Strike Force operation that led to charges against more than 300 individuals for approximately $900 million in false billings. Javed was arrested in 2016 and admitted to the scheme during his guilty plea before Judge Vernon S. Broderick. The investigation was conducted by the Federal Bureau of Investigation and the Department of Health and Human Services Office of the Inspector General, with prosecution handled by the Southern District of New York’s Complex Frauds and Cybercrime Unit. Javed, 47, of Fresh Meadows, Queens, is scheduled to be sentenced on August 24, 2018, and faces a maximum of five years in prison.
Extracted insights
- $900.00M $900 million $100M–$1B
- $8.50M $8.5 Million $1M–$10M
- $8.50M $8.5 million $1M–$10M
- person Geoffrey S. Berman
- person medicare fraud strike force
- person sajid javed
- Sajid Javed pled guilty to conspiracy to commit health care fraud
- Sajid Javed fraudulently billed Medicare and Medicaid $8.5 million
- Sajid Javed owned and operated nine pharmacies in Brooklyn and Queens
- Sajid Javed obtained reimbursements for prescription drugs never dispensed from January 2013 through July 2015
- Sajid Javed paid kickbacks to individuals to forego prescription medications
- Sajid Javed was arrested in 2016
- Geoffrey S. Berman announced guilty plea of Sajid Javed
- Medicare Fraud Strike Force led nationwide sweep resulting in charges against more than 300 individuals
- Sajid Javed is scheduled to be sentenced on August 24, 2018
- Conspiracy to commit health care fraud charge carries maximum sentence of five years in prison
Press Release New York City Pharmacy Owner Pleads Guilty To Committing $8.5 Million Fraud On Medicare And Medicaid Thursday, April 19, 2018 Share FacebookLinks to other government and non-government sites will typically appear with the “external link” icon to indicate that you are leaving the Department of Justice website when you click the link. XLinks to other government and non-government sites will typically appear with the “external link” icon to indicate that you are leaving the Department of Justice website when you click the link. LinkedInLinks to other government and non-government sites will typically appear with the “external link” icon to indicate that you are leaving the Department of Justice website when you click the link. Email For Immediate Release U.S. Attorney's Office, Southern District of New York Geoffrey S. Berman, the United States Attorney for the Southern District of New York, announced that SAJID JAVED, an owner and operator of nine different pharmacies in the New York City area, pled guilty today to participating in a health care fraud scheme that used his pharmacies to submit more than $8.5 million in fraudulent claims to Medicare and Medicaid. JAVED was arrested in 2016 as part of an unprecedented nationwide sweep led by the Medicare Fraud Strike Force, resulting in criminal and civil charges against more than 300 individuals for their alleged participation in health care fraud schemes involving approximately $900 million in false billings. JAVED pled guilty in Manhattan federal court today before the Honorable Vernon S. Broderick. Manhattan U.S. Attorney Geoffrey S. Berman said: “As he admitted in court today, Sajid Javed fraudulently billed Medicare and Medicaid more than $8.5 million for drugs that were never actually dispensed. He did this by inducing others to forego their prescription medications for kickbacks. This scheme not only put patients at risk, it also contributed to the multibillion-dollar theft of federally funded public health care subsidies.” According to the Complaint and the Superseding Information filed in Manhattan federal court, and statements made in connection with JAVED’s guilty plea: While owning and operating nine different pharmacies in Brooklyn and Queens, JAVED perpetrated a multimillion-dollar scheme to defraud Medicare and Medicaid programs by seeking reimbursement for prescription drugs that were never distributed to customers. From January 2013 through July 2015, JAVED obtained more than $8.5 million in reimbursements from Medicare and Medicaid for prescription drugs that his pharmacies never actually dispensed to customers. JAVED tricked Medicare and Medicaid into paying these reimbursements by obtaining prescriptions from individuals who were willing to forego delivery of the medications in exchange for a share of the reimbursements. JAVED offered to pay, and in fact paid, such kickbacks in furtherance of the unlawful scheme. * * * JAVED, 47, of Fresh Meadows, Queens, pled guilty to one count of conspiracy to commit health care fraud, which carries a maximum sentence of five years in prison. The maximum potential sentence is prescribed by Congress and is provided here for informational purposes only, as any sentencing of the defendant will be determined by the judge. JAVED is scheduled to be sentenced by Judge Broderick on August 24, 2018, at 2:30 p.m. Mr. Berman praised the investigative work of the Federal Bureau of Investigation and the Department of Health and Human Services Office of the Inspector General. The case is being prosecuted by the Office’s Complex Frauds and Cybercrime Unit. Assistant United States Attorneys Christopher J. DiMase and Sarah E. Paul are in charge of the prosecution. Updated April 19, 2018 Topic Healthcare Fraud Component USAO - New York, Southern Press Release Number: 18-127
Press Release New York City Pharmacy Owner Pleads Guilty To Committing $8.5 Million Fraud On Medicare And Medicaid Thursday, April 19, 2018 Share FacebookLinks to other government and non-government sites will typically appear with the “external link” icon to indicate that you are leaving the Department of Justice website when you click the link. XLinks to other government and non-government sites will typically appear with the “external link” icon to indicate that you are leaving the Department of Justice website when you click the link. LinkedInLinks to other government and non-government sites will typically appear with the “external link” icon to indicate that you are leaving the Department of Justice website when you click the link. Email For Immediate Release U.S. Attorney's Office, Southern District of New York Geoffrey S. Berman, the United States Attorney for the Southern District of New York, announced that SAJID JAVED, an owner and operator of nine different pharmacies in the New York City area, pled guilty today to participating in a health care fraud scheme that used his pharmacies to submit more than $8.5 million in fraudulent claims to Medicare and Medicaid. JAVED was arrested in 2016 as part of an unprecedented nationwide sweep led by the Medicare Fraud Strike Force, resulting in criminal and civil charges against more than 300 individuals for their alleged participation in health care fraud schemes involving approximately $900 million in false billings. JAVED pled guilty in Manhattan federal court today before the Honorable Vernon S. Broderick. Manhattan U.S. Attorney Geoffrey S. Berman said: “As he admitted in court today, Sajid Javed fraudulently billed Medicare and Medicaid more than $8.5 million for drugs that were never actually dispensed. He did this by inducing others to forego their prescription medications for kickbacks. This scheme not only put patients at risk, it also contributed to the multibillion-dollar theft of federally funded public health care subsidies.” According to the Complaint and the Superseding Information filed in Manhattan federal court, and statements made in connection with JAVED’s guilty plea: While owning and operating nine different pharmacies in Brooklyn and Queens, JAVED perpetrated a multimillion-dollar scheme to defraud Medicare and Medicaid programs by seeking reimbursement for prescription drugs that were never distributed to customers. From January 2013 through July 2015, JAVED obtained more than $8.5 million in reimbursements from Medicare and Medicaid for prescription drugs that his pharmacies never actually dispensed to customers. JAVED tricked Medicare and Medicaid into paying these reimbursements by obtaining prescriptions from individuals who were willing to forego delivery of the medications in exchange for a share of the reimbursements. JAVED offered to pay, and in fact paid, such kickbacks in furtherance of the unlawful scheme. * * * JAVED, 47, of Fresh Meadows, Queens, pled guilty to one count of conspiracy to commit health care fraud, which carries a maximum sentence of five years in prison. The maximum potential sentence is prescribed by Congress and is provided here for informational purposes only, as any sentencing of the defendant will be determined by the judge. JAVED is scheduled to be sentenced by Judge Broderick on August 24, 2018, at 2:30 p.m. Mr. Berman praised the investigative work of the Federal Bureau of Investigation and the Department of Health and Human Services Office of the Inspector General. The case is being prosecuted by the Office’s Complex Frauds and Cybercrime Unit. Assistant United States Attorneys Christopher J. DiMase and Sarah E. Paul are in charge of the prosecution. Updated April 19, 2018 Topic Healthcare Fraud Component USAO - New York, Southern Press Release Number: 18-127