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Sep 7, 2010    DOW JONES NEWSWIRES

http://www.nasdaq.com/aspx/stock-market-news-story.aspx?storyid=201009071328dowjonesdjonline000323&title=nj-doctor-charged-for-billing-medicaid-for-fake-doctorsservices

A New Jersey doctor has been charged with fraudulently obtaining at least $1.8 million from Medicaid by billing for services provided by people who were posing as physicians.

Yousuf Masood of Warren, N.J., employed the unlicensed people to treat patients in his office--making as little as $17 an hour--and billed Medicaid as if he had rendered the services, even sometimes when he was out of the country, according to the office of U.S. Attorney Paul Fishman. Masood and his wife have been charged with conspiracy to commit health-care fraud and money-laundering offenses.

The duo, along with four other defendants masquerading as doctors who were charged with conspiracy to commit health-care fraud, have been arrested and are due to be appear in federal court in Newark, N.J., on Tuesday afternoon.

If convicted on the conspiracy charges, each defendant faces a maximum of 10 years in prison and a fine of $250,000 or twice the gross gain or loss from the offense. The Masoods each face an additional maximum penalty on the money- laundering charge of 10 years in prison and a fine of $250,000 or twice the gross gain or loss from the offense.

The government acted on nine seizure warrants covering millions of dollars allegedly obtained as a result of the alleged health-care fraud. If the Masoods are convicted on the money-laundering charge, they would be forced to forfeit property for which they paid more than $1.4 million.