Kansas physician pleads guilty to $16M fraud scheme

A Kansas physician pleaded guilty to ordering $16 million worth of unnecessary genetic tests and orthotic braces for more than 3,000 patients in a telehealth fraud scheme.

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From 2017 to 2021, 64-year-old Gautam Jayaswal, MD, was a telemedicine physician for 11 companies. During that period, he ordered one or more orthotic braces for 1,433 patients, amounting to roughly $1.36 million in Medicare funds. Between June 2018 and September 2021, he also ordered medically unnecessary genetic tests for 2,061 patients, which cost Medicare $14.7 million.

Dr. Jayawal pleaded guilty to one count of conspiracy to commit healthcare fraud on May 9, according to a Justice Department news release. He faces up to five years in prison, a fine of up to $250,000 or both, and he will be ordered to repay the money, according to the release.

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