Hospital Administrator Charged in $116 Million Kickback Case

A hospital administrator in Texas has pled guilty to conspiracy to commit health care fraud and conspiracy to pay kickbacks for his role in a $116 million kickback scheme.  Mr. Mohammed Khan paid kickbacks to patient recruiters and owners of nursing homes to encourage them to refer patients to Riverside General Hospital’s mental health clinics.  Mr. Kahn also attempted to draw patients to the clinic by offering them cigarettes, food, and coupons for the hospital’s “country stores,” according to the indictment.  Mr. Kahn will stay in custody until he is sentenced next month.

Although Mr. Kahn was the hospital’s assistant administrator, the hospital has not been charged with any wrongdoing.  However, Mr. Kahn’s lawyer reported that his client is cooperating with the government, assisting them in their investigation of Riverside’s mental health clinic. This is not the first brush with fraud for the mental health clinic’s administrator Earnest Gibson IV, whose former business associate pled guilty to an $8 million Medicare fraud scheme last year.

Read the entire articles, “Hospital exec charged in $116 million Medicare scam”; “Ex-official at Houston hospital pleads guilty in Medicare scam”