A Pittsburgh man was ordered to 18 months imprisonment, forfeit $9 million in criminal proceeds and to pay more than $77 million in restitution for using two Pittsburgh-area labs for illegal kickback schemes.
Ravitej Reddy, 56, previously pled guilty to three counts of conspiring to commit offenses against the United States and one count of offering and paying kickbacks in connection with a federal health care program.
Prosecutors say Reddy paid kickbacks to marketers in return for the marketers obtaining cheek swabs from Medicare beneficiaries to be used in laboratory testing. Reddy and others also paid kickbacks to ensure that telemedicine physicians provided prescriptions for laboratory testing for the swabs obtained by the marketers, according to the Department of Justice. Reddy’s labs then billed for the performance of the tests.
In all, Reddy and others caused a loss to the United States in excess of $60 million, according to the government.
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