Indian-American jailed for health care fraud

A Chicago based Indian-American physician whose medical license was suspended has been sentenced to 18 months in prison for health care fraud and illegally prescribing controlled substance medications.

IANS| Updated: Feb 26, 2015, 11:02 AM IST

Chicago: A Chicago based Indian-American physician whose medical license was suspended has been sentenced to 18 months in prison for health care fraud and illegally prescribing controlled substance medications.

Sathish Narayanappa Babu, who owned Anik Life Sciences Medical Corp., pleaded guilty in September 2014 to illegally prescribing oxycodone and other controlled substances, and fraudulently billing Medicare about $500,000.

Babu, 48, who operated the home-visiting physician's office, in Darien and, previously, in Arlington Heights also fraudulently collected about $216,000 for services he did not provide, according to a Federal Bureau of Investigation release.

US District Court Judge John J. Tharp also imposed a term of three years of supervised release and a restitution amount of $221,012.

Babu agreed to forfeit about $126,000, which was seized at the time of his arrest, and will be credited towards the restitution ordered.

Also forfeited were three automobiles - a 2013 BMW, a 2001 BMW, and a 2010 Lexus. Babu was ordered to begin serving his sentence May 13, 2015.

"This crime wasn't an isolated act, it was a calculated, systematic effort to milk Medicare," commented Judge Tharp.

"The defendant was stealing money from those in need... putting many in need at risk."

Babu admitted that he engaged in a scheme to defraud Medicare from November 2011 through February 2014.

In addition, Babu admitted that between November 2012 and December 2013, he issued multiple prescriptions for controlled substances to a patient, who was actually an undercover agent, despite never having seen or examined the patient.

Babu also permitted unlicensed personnel associated with Anik Life Sciences to issue prescriptions to the patient.

During the same period, Babu submitted false claims to Medicare for services provided to the patient that were not rendered by Babu or another licensed medical professional.