Former St. Louis pharmacy owner gets 2-year prison sentence for fraud

The former owner of St. Louis Hills Pharmacy was sentenced to two years in prison and ordered to pay $1.4 million for his role in a healthcare fraud scheme, the U.S. Justice Department said

Rehan Rana was accused of filing false tax returns, claiming he only had hundreds of thousands of dollars in taxable income from his pharmacy, when he actually received more than $1 million. 

Mr. Rana also was affiliated with Allegiance Medical Services, a medical testing laboratory. He reportedly paid kickbacks to physicians in exchange for having blood and urine samples sent or referred to the lab. Allegiance Medical Services hid the kickback payments from Medicare and Medicaid, according to the report. 

Mr. Rana pleaded guilty in September 2018 to filing false tax returns and paying illegal kickbacks to physicians.

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