This story was originally posted on MyNorthwest.com
The owner of an Everett lab faces federal health care fraud charges.
Federal prosecutors say from April 2024 to December 2024, Mohammed Asif, 34, billed Medicare $8.7 million for COVID-19 and other respiratory illness tests that were never ordered or performed.
“Medicare provides critical funding for senior citizens’ health care needs, which makes this type of fraud all the more reprehensible,” Acting U.S. Attorney Teal Luthy Miller said. “This case stands as an example of how federal law enforcement is working diligently to protect those critical tax dollars from fraud schemes.”
Authorities say Medicare paid more than $1 million to the lab. Asif is charged with health care fraud and conspiracy to commit health care fraud, crimes that carry a maximum penalty of 10 years in prison and a fine of up to $250,000.
Over 200 complaints filed against Everett lab owner
According to a news release from the U.S. Attorney’s Office, Medicare received more than 200 complaints from enrollees and others about American Labworks between June 2024 and March 2025. Many people said Medicare was billed for testing that was never received.
“For example, one Medicare enrollee noted that Medicare paid American Labworks $545 for COVID-19 tests in August 2023 and March 2024,” the release said. “But the beneficiary had never had any COVID-19 tests on those dates. Multiple Medicare beneficiaries said they, too, had seen bills for tests that never occurred.”
In some cases, the billing records indicated that beneficiaries who had already died were tested.
“And in other instances, the physician who allegedly referred the patient for testing was dead at the time of the date of service,” the release said.
W. Mike Herrington, Special Agent in Charge of the FBI’s Seattle field office, said there is nothing legitimate about Asif’s company.
“Mr. Asif, along with his co-conspirators, used this apparently illegitimate company to fraudulently bill Medicare almost $9 million for tests that were never done,” Herrington said. “When we receive allegations such as these, the FBI and our partners will aggressively investigate potential fraud against the U.S. taxpayer.”
Acting Special Agent in Charge Robb Breeden of the U.S. Department of Health and Human Services, Office of Inspector General (HHS-OIG), said authorities will continue to work with law enforcement to hold people accountable.
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