NJ Pharmacy Owner Sentenced to 30 Months for $620K Health Care Fraud

Kirtan S. Patel, who owned a pharmacy in New Jersey, was sentenced on Friday to 30 months in federal prison. U.S. District Judge Susan D. Wigenton also ordered him to pay $620,000 in restitution.

Patel pleaded guilty in 2022 to one count of health care fraud. Court documents show he submitted fraudulent claims to insurance companies for prescriptions that were never filled or were not medically necessary.

To cover up the scheme, Patel created falsified audit reports and fake prescription logs. These documents were designed to make it appear that the pharmacy was complying with regulations and that the prescriptions were legitimate.

The fraud took place over several years, according to the U.S. Attorney's Office for the District of New Jersey. Patel's actions caused insurance companies to pay out more than $620,000 in bogus claims.

In addition to the prison term and restitution, Patel will serve three years of supervised release after his sentence. The case was investigated by the FBI and the U.S. Department of Health and Human Services Office of Inspector General.