Woodbridge Doctor Admits Guilt In Prescription Fraud Conspiracy - Insurance News | InsuranceNewsNet

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February 16, 2023 Newswires
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Woodbridge Doctor Admits Guilt In Prescription Fraud Conspiracy

TAPinto.net (NJ)

WOODBRIDGE, NJ — A physician from Woodbridge faces a decade in federal prison and a $250,000 fine after pleading guilty to insurance fraud in federal court Wednesday as part of a plea deal.

Dr. Saurabh Patel, 51, admitted to one count of conspiring to commit healthcare fraud for submitting a phony insurance claim for unnecessary prescriptions, according to U.S. Attorney Vikas Khanna.

Dr. Patel is to be sentenced in June 2023.

A federal grand jury, however, originally charged Dr. Patel – with a family member Kaival Patel, 52, of West New York – in January 2022 on multiple charges of defrauding state and municipal employees' insurance programs out of more than $3.4 million with a slew of fake claims for needless medications.

Federal prosecutors say despite having no background in medicine or prescription drugs, Kaival Patel and his wife owned and ran ABC Healthy Living LLC in Newark, that sold a host of medical products and compound prescription medications.

Kaival Patel remains charged with conspiracy to commit money laundering, substantive counts of money laundering and lying to federal agents. He is scheduled to go on trial later this year.**BULLSEYE

A third man, Paul Camarda, a pharmaceutical salesman, also worked with Kaival Patel. The two men learned that state and municipal government employees have lucrative insurance coverage that frequently reimburses thousands of dollars for supplies of certain compound medications.

Federal prosecutors say Kaival Patel and Camarda convinced Dr. Patel to write the prescriptions for the compound medications, regardless of whether people needed them.

Camarda pleaded guilty in July 2021 to healthcare fraud conspiracy and conspiring to commit money laundering and obstruct justice. He awaits sentencing.**STANDARD

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