Ex-Optum Director, Indian American, Gets 3 Years for $950K Fraud

Gupta, a former senior director at Optum, was convicted by a federal jury on Feb. 17 after a six-day trial on charges of conspiracy to commit wire fraud, 10 counts of wire fraud, and conspiracy to commit money laundering, according to the U.S. Attorney's Office for the District of Minnesota.

Court documents show that in 2015, Gupta hired his longtime friend Shagraf Kaul as a data engineering manager, despite Kaul lacking the necessary qualifications. Kaul performed no work for more than three years while receiving a six-figure salary, prosecutors said.

Gupta demanded that Kaul return 60% of his salary. Payments were initially made through cash deposits, and later the two used a separate checking account that Gupta could access to conceal the transfers.

The scheme was uncovered after Optum terminated Gupta in November 2019 over his involvement in a similar no-show employee fraud scheme. The company investigated and referred the matter to federal law enforcement.

Kaul pleaded guilty on Feb. 26, 2025, to one count of conspiracy to commit wire fraud and is awaiting sentencing. U.S. Attorney Daniel N. Rosen said the sentencing reflects the seriousness of Gupta's crimes, which undermine a healthcare provider that millions of Americans depend on.