Indian-origin doctor convicted in US of health care fraud conspiracies

An Indian-origin doctor has been convicted by a US federal jury of his participation in conspiracies to commit health care fraud by giving medically unnecessary prescription medications to patients and unlawfully distributing controlled substances.

Neil K Anand, 48, of Bensalem, Pennsylvania, conspired to submit false and fraudulent claims to Medicare, health plans provided by the US Office of Personnel Management (OPM), Independence Blue Cross (IBC) and Anthem for “Goody Bags” of medically unnecessary prescription medications.

These medications were dispensed to patients by in-house pharmacies owned by Anand, the Department of Justice said in a statement.

As the evidence at trial showed, the conspirators required patients to take the Goody Bags, which they did not need or want, to receive prescriptions for controlled substances.

In total, Medicare, OPM, IBC, and Anthem paid over USD 2.3 million for the Goody Bags, the statement said.

Anand also conspired to distribute oxycodone outside the usual course of professional practice and without a legitimate medical purpose. In furtherance of the conspiracy, unlicensed medical interns wrote prescriptions for controlled substances using blank prescriptions that were pre-signed by Anand.

Anand prescribed 20,850 oxycodone tablets for nine different patients, as part of the scheme.

After learning that he was under investigation, Anand concealed the proceeds of the fraud by transferring approximately USD 1.2 million into an account in the name of his father and for the benefit of his minor daughter.

Anand was convicted of conspiracy to commit health care fraud and wire fraud; three counts of health care fraud; one count of money-laundering; four counts of unlawful monetary transactions; and conspiracy to distribute controlled substances.

He is scheduled to be sentenced on August 19 and faces a statutory maximum penalty of 130 years in prison.

A federal district court judge will determine any sentence after considering the US Sentencing Guidelines and other statutory factors.