NYC Pharmacy Owner Sentenced to 2½ Years in Prison for Multimillion-Dollar Healthcare Fraud

Sajid Javed, an owner and operator of a number of pharmacies in the New York City area, was sentenced to 30 months in prison for using his pharmacies to submit more than $7.1 million in fraudulent claims to Medicare and Medicaid. While owning and operating a number of pharmacies located in Brooklyn and Queens, Javed conducted a multimillion-dollar scheme to defraud Medicare and Medicaid programs by seeking reimbursement for prescription drugs that were not distributed to customers. Specifically, from January 2013 through December 2014, Javed obtained more than $7.1 million in reimbursements from Medicare and Medicaid for prescription drugs that his pharmacies never actually dispensed to customers. Javed defrauded Medicare and Medicaid into providing him with these reimbursements by obtaining prescriptions from other individuals, who were willing to forego delivery of the medications in exchange for a share of the reimbursed proceeds, in the form of kickbacks. Javed offered to pay, and did actually pay, kickbacks in furtherance of this scheme. In addition to the prison term, Judge Broderick sentenced Javed, 49, of Fresh Meadows, Queens, to three years of supervised release and ordered Javed to make court-ordered restitution in the amount of $6,040,451.32 to Medicare and $1,150,562.16 to Medicaid, and imposed forfeiture in the amount of $7,191,013.48.

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