IL Lab Lied About COVID Test Results In $14M Scheme: Authorities

INVERNESS, IL — A north suburban man who ran a lab in Chicago pleaded guilty to fraud in a $14 million scheme in which his business billed the government for coronavirus testing that either wasn't conducted or came back inconclusive, falsely claiming the tests were negative, authorities said.

Zishan Alvi, 45, of Inverness, pleaded guilty Monday to one count of wire fraud, according to the U.S. Department of Justice.

Alvi owned and operated a lab in Chicago that performed coronavirus testing, authorities said. From February 2021 through February 2022, he caused claims to be submitted to the Department of Health and Human Services’ Health Resources and Services Administration for testing that was not performed as billed, according to the department.

The lab released negative results to patients even though it had not tested specimens or the results were inconclusive, authorities said. Alvi knew the tests hadn’t been performed or were inconclusive but still caused the lab to submit claims for them, leading the administration to pay the lab over $14 million, according to the department.

Alvi is set to be sentenced Feb. 7 and faces up to 20 years in prison, authorities said.