Detroit Physician Pleads Guilty to Role in $7M Medicare Fraud Scheme

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Walayat Khan, MD, has pleaded guilty to one count of conspiracy to commit healthcare fraud in connection with his role in a $7 million Medicare fraud scheme, according to the Department of Justice.

Beginning in 2009, Dr. Khan referred Medicare beneficiaries to Detroit-area home healthcare agencies for medically unnecessary services. In addition, Dr. Khan signed documents falsely certifying beneficiaries required home healthcare, according to the report.

Dr. Khan accepted cash kickbacks from the home health agency owners in return for signing the home healthcare documents.

As a result of Dr. Khan's improper referrals, the home health companies, his co-conspirators, submitted claims to Medicare for services that were never rendered and/or not medically necessary.

As part of the healthcare fraud scheme, Dr. Khan used a patient recruiter to recruit Medicare beneficiaries to his practice. In exchange, Dr. Khan wrote prescriptions for controlled substances for the beneficiaries and paid the recruiter cash, according to the report.

Dr. Khan billed Medicare and caused Medicare to be billed for nearly $7 million for medically unnecessary controlled substances, physician services and home health services

Sentencing for Dr. Khan is scheduled for Oct. 7, 2014.

More Articles on Medicare Fraud:

New Methods For Combating Healthcare Fraud Are Paying Off 
Will EHRs Lead to More Healthcare Fraud? 
Senior Citizens Responsible for $9.1M in Medicare, Medicaid Fraud Recoveries 



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