Wisconsin Man Sentenced to 21 Months’ Imprisonment for Paying Healthcare Kickbacks

Richard G. Frohling, Acting United States Attorney for the Eastern District of Wisconsin, announced that, on March 21, 2025, Justin Drew Hanson was sentenced to 21 months’ incarceration for paying healthcare kickbacks in violation of the Anti-Kickback Statute. Hanson was also ordered to pay over $2.2 million in restitution to Medicaid and Medicare as well as a $75,000 fine. According to court records, Hanson and his co-defendant, Mohammed Kazim Ali, owned a Milwaukee-area clinical laboratory called Noah Associates. Beginning in 2017, Ali and Hanson engaged in a three-year-long scheme to pay kickbacks to the owner of a Milwaukee substance use treatment clinic in exchange for referrals of Medicaid and Medicare patients for urine drug testing performed by Noah Associates. Hanson and Ali procured sham agreements that further concealed their fraud, ultimately paying over $400,000 in kickbacks to procure the tests. The tests, however, were not ordered by any physician and were not medically necessary for the treatment of patients. As a result of the scheme, Medicaid and Medicare paid Noah Associates over $2.2 million for the unnecessary tests. Hanson personally received hundreds of thousands of dollars from Noah Associates during the scheme.

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