Indian American Doctor in Las Vegas Jailed for Health Insurance Fraud

An Indian-origin doctor has been sentenced to 71 months in a federal prison and ordered to repay over $2.2 million for health insurance fraud, the Federal Bureau of investigation announced on Friday.

Dr. Dipak Desai, the former owner of a defunct Nevada endoscopy center, pleaded guilty today to conspiracy to defraud Medicare, Medicaid and other private health insurance companies by inflating and overcharging for anesthesia services it provided, announced U.S. Attorney Daniel G. Bogden for the District of Nevada.

“Dr. Desai intentionally defrauded the federal health care system for his own personal enrichment,” said U.S. Attorney Bogden. “He has finally taken responsibility for his conduct. We are hopeful this closes a long and sordid chapter of harm caused to the people and businesses of Nevada.”

Desai, 65, of Las Vegas, pleaded guilty before U.S. District Judge Larry R. Hicks to one count of conspiracy to commit health care fraud, one count of health care fraud, and agreed to the forfeiture of property of up to approximately $2.2 million. Desai is scheduled to be sentenced on July 9, 2015, and faces a maximum of five years in prison on the conspiracy count, 10 years in prison on the health care fraud count, and maximum fines of $250,000 on each count.

The Las Vegas doctor, who had pleaded guilty to conspiracy and health care fraud, was sentenced by federal Judge Larry R Hicks. Dr Desai intentionally defrauded the federal health care system for his own personal enrichment,” Mr Bogden said.

“We are hopeful this closes a long and sordid chapter of harm caused to the people and businesses of Nevada.”

An FBI press release said that Dr Desai and his endoscopy company’s chief operating officer Tonya Rushing “imposed intense pressure on the endoscopy center employees to schedule and treat as many patients as possible in a day, and instructed the nurse anesthetists to overstate in their records the amount of time they spent on the anesthesia procedures.”

Ms Rushing was earlier sentenced to a year in jail for her role in the scam.

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