Man Ordered to Pay $1.3M for DME Fraud

LOUISVILLE, Kentucky–A Kentucky man was sentenced to over one year in prison for engaging in a conspiracy to commit health care fraud and money laundering in connection with his durable medical equipment (DME) businesses.

According to court documents, Shafi Abbas, 57, formerly of Pendleton, Kentucky, was sentenced to one year and one day in prison, followed by two years of supervised release, for one count of conspiracy to commit health care fraud and three counts of money laundering. Abbas, through his companies, Aidmen Medical Equipment LLC and Justright Medical Equipment LLC, fraudulently billed Medicare for DME which was medically unnecessary, unwanted by patients and not prescribed by the patients’ medical providers. Abbas further transferred funds, in criminally derived property of a value greater than $10,000, which came from specified unlawful activity, specifically the health care fraud conspiracy.

There is no parole in the federal system.

Abbas was also ordered to pay restitution in the amount of $1,333,722.21.