TL/DR –
Mohammed Asif, an Indian national, was sentenced to two years in prison after being convicted of healthcare fraud in the US. Asif, the owner and director of American Labworks, conspired with others to bill Medicare for non-performed or non-ordered Covid-19 tests and other respiratory illness tests, defrauding over $1.1 million from the system. He will likely be deported after his prison term, and the government’s investigation into other potential conspirators is still ongoing.
Indian National Receives Prison Sentence for Major Health Care Fraud in Seattle
In a recent U.S. District Court ruling in Seattle, 35-year-old Indian national Mohammed Asif was sentenced to two years in prison for committing health care fraud. Asif was apprehended at Chicago O’Hare International Airport in April 2025 while attempting to board an international flight. He later pleaded guilty to conspiring to commit health care fraud with American Labworks LLC, a diagnostic testing laboratory in Everett, Washington. The fraud involved billing Medicare for COVID-19 tests and other respiratory illness tests that were never ordered or performed.
Extent of Fraud and Abuse of Medicare Funds
At the sentencing hearing, U.S. District Judge James L. Robart emphasized the significance of the fraud amount, $1,174,813, noting that it was money siphoned out of a system meant to support the elderly and the poor. U.S. Attorney Neil Floyd echoed these sentiments, highlighting that Medicare is a frequent target of fraud and its impact on the United States and taxpayers is significant.
Records show that American Labworks LLC, formed in October 2021 and dissolved in March 2025, billed Medicare over $8.7 million for laboratory testing services, including COVID-19 testing, from April to December 2024. Of this, Medicare paid out over $1.1 million to the lab. Asif, the owner and director of the lab, is said to have received multiple checks and made withdrawals from the lab’s bank account.
Public Complaints and Investigation Details
Between June 2024 and March 2025, Medicare received over 200 complaints about American Labworks. Many complainants reported being billed for tests they never received. In some extreme cases, billing records showed tests dates for deceased beneficiaries or referrals from physicians who were deceased at the time of supposed service. This fraudulent activity led to swift action from HHS-OIG and the FBI, resulting in Asif’s arrest and indictment in April 2025.
Robb R. Breeden, Acting Special Agent in Charge of the HHS-OIG, emphasized that such fraud undermines the integrity of the healthcare system and diverts resources from those in need. W. Mike Herrington, Special Agent in Charge of the FBI Seattle field office, warned potential criminals that law enforcement agencies will diligently track financial records to bring justice.
Asif, who is likely to be deported following his prison term, has been ordered to repay the $1,174,813 he stole in restitution. The investigation into the fraud, which involves multiple co-conspirators, is ongoing.
—
Read More Health & Wellness News ; US News