By: Richard L. Smith
A New York-based businessman has admitted to participating in a scheme involving healthcare fraud and illegal kickbacks, according to information released by the U.S. Department of Justice.
Mansinh Chaudhari, also known as "Monsi Koova," 55, of Illinois, pleaded guilty in Newark federal court before U.S. District Judge Michael E. Farbiarz to charges of conspiracy to commit health care fraud and conspiracy to violate the Federal Anti-Kickback Statute.
According to court documents and statements made during the proceedings, Chaudhari owned and operated a consulting company in New York that purchased information linked to potential Medicare beneficiaries.
This information came with assurances that Medicare would reimburse the purchase of COVID-19 tests. Chaudhari then sold this beneficiary information to medical providers in several states, including New Jersey, Tennessee, Colorado, Connecticut, and Utah.
The medical providers used the information to submit claims to Medicare for up to eight over-the-counter COVID-19 tests per month—tests that the beneficiaries neither needed nor requested.
The scheme involved the creation of sham agreements and the issuance of fraudulent invoices to disguise the illegal activities.
Chaudhari and his co-conspirators billed these invoices as payments for marketing, consulting, or fulfillment services. According to the Justice Department, the fraudulent activity resulted in a loss of more than $5.3 million to Medicare.
Health care fraud conspiracy carries a maximum penalty of 10 years in prison, while conspiracy to violate the Federal Anti-Kickback Statute is punishable by up to five years in prison.
Each charge also carries a potential fine of $250,000 or twice the financial loss or gain resulting from the offense.
Chaudhari is scheduled to be sentenced on April 29, 2025. This case highlights the ongoing efforts to combat health care fraud and protect the integrity of federal health programs.