Outcome Health ex-employees change pleas to guilty

Two indicted former analysts from healthcare technology company Outcome Health pled guilty to felony conspiracy to commit wire fraud on Jan. 16, the Chicago Tribune reported.

Kathryn Choi and Oliver Han's indictments were handed down by the U.S. Department of Justice in November. When they appeared in federal court in Chicago in December, both Ms. Choi and Mr. Han pled not guilty to the felony charges.

With their changed pleas, the former employees are now also reportedly cooperating with the government's ongoing investigation into the fraud scheme allegedly perpetrated by several of Outcome Health's former executives and employees, including co-founders Rishi Shah and Shradha Agarwal, both of whom have pled not guilty to their own federal fraud charges.

According to investigations from the FBI and The Wall Street Journal, the ex-employees engaged in fraudulent practices between 2012 and 2017 in order to raise funds for the company, resulting in the loss of millions of dollars by Outcome Health's pharmaceutical clients.

In October 2019, the company, now under new management, reached a non-prosecution agreement with the DOJ in which it admitted the former employees had defrauded clients, pledged to distribute $70 million to victims of the fraud scheme and agreed to participate in the Justice Department's investigation.

For a timeline of the fraud scheme and its subsequent fallout, click here.

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