DETROIT (Michigan News Source) – A Dearborn Heights pharmacist who operated two local pharmacies admitted to orchestrating a five-year health care fraud scheme that cost insurers more than $3 million.
Federal officials announced that 44-year-old Mohammad Hamdan pleaded guilty to conspiracy to commit health care fraud, according to United States Attorney Jerome F. Gorgon Jr.
Prosecutors say Hamdan used his pharmacies to submit false claims to Medicare, Medicaid, and Blue Cross Blue Shield of Michigan for prescription drugs that were either medically unnecessary or never dispensed. In some cases, the pharmacies did not even have the medications in stock — yet billed insurers as if they had been provided to patients.
Over the course of the five-year scheme, Hamdan submitted or directed the submission of more than $3.2 million in fraudulent claims.
During his plea hearing, Hamdan admitted to the fraudulent billing practices that led to more than $3 million in losses to the health care programs.
He now faces up to 10 years in federal prison, a fine of up to $250,000, and as many as three years of supervised release. Sentencing will be scheduled before U.S. District Judge Judith Levy after a presentence investigation report is completed.
