Orland Park Man's COVID Test Fraud Scheme Funneled $153M To Suburban Lab: Feds

CHICAGO — An Orland Park man faces wire fraud charges after prosecutors say he caused a laboratory to submit $233 million in fraudulent claims in Illinois and Florida, resulting in more than $150 million in Health and Human Services’ Health Resources and Services Administration payments to the lab.

Jamil Elkoussa, 35, is among 13 defendants facing criminal charges in the Northern District of Illinois as part of the largest national health care fraud enforcement action in Department of Justice history–and the largest ever in the Northern District of Illinois.

The defendants are charged with various crimes related to health care, with some allegedly participating in fraud schemes involving more than $1.83 billion billed to government programs and private health insurers. The fraud schemes caused the Department of Health and Human Services’ Health Resources and Services Administration (HRSA), Medicare, and other insurers to pay more than $865 million in fraudulent reimbursements.

Elkoussa was charged with five counts of wire fraud in connection with a scheme to defraud the U.S. government’s HRSA COVID-19 Uninsured Program. As alleged in the indictment, Elkoussa operated Meridian Medical Staffing, which purported to collect samples for COVID-19 tests at numerous sites in Illinois and Florida.

Elkoussa allegedly caused a laboratory to submit approximately $233 million in fraudulent claims to the HRSA Uninsured Program for COVID-19 test specimens purportedly collected from patients, even though he knew that such test specimens had not been collected from the purported patients, and many of those patients did not exist.

According to the indictment, Elkoussa’s fraudulent conduct resulted in approximately $153 million in HRSA payments to the laboratory, for which Elkoussa received more than $60 million.

Approximately $6 million in assets have been seized, according to the U.S. Attorney's Office.

Nationwide, more than 320 defendants were charged for allegedly participating in various health care fraud schemes involving more than $14.6 billion in intended losses. The government seized more than $245 million in cash, luxury vehicles, cryptocurrency, and other assets as part of the national enforcement effort. The takedown involved federal and state law enforcement agencies across the country and represented an unprecedented effort to combat health care fraud schemes that exploit both patients and taxpayers, according to U.S. Attorney's Office in Chicago.

The nationwide takedown was led and coordinated by the Health Care Fraud Unit of the Department of Justice Criminal Division’s Fraud Section and its core partners from U.S. Attorneys’ Offices, the U.S. Department of Health and Human Services Office of Inspector General (HHS-OIG), FBI, and the Drug Enforcement Administration (DEA). The cases were investigated by agents from HHS-OIG, FBI, DEA, the U.S. Food and Drug Administration Office of Criminal Investigations, and other federal and state law enforcement agencies. The cases are being prosecuted by Health Care Fraud Strike Force teams from the Criminal Division’s Fraud Section, 48 U.S. Attorneys’ Offices nationwide, and nine State Attorney Generals’ Offices.

"The U.S. Attorney’s Office for the Northern District of Illinois is proud to partner with the Department of Justice and multiple law enforcement agencies in the largest health care fraud takedown in our District’s history," said Andrew S. Boutros, United States Attorney for the Northern District of Illinois. "Health care fraud is an insidious crime that siphons off hard-earned tax dollars meant to provide care for people of limited means as well as the vulnerable and disabled. It leads to increased health care costs, including higher insurance premiums and taxes, as well as potentially jeopardizing the quality and safety of treatment.

"At nearly $2 billion, the alleged combined fraud at issue in these cases is staggering. This type of criminal conduct not only undermines the very fabric of our health care system, but also can lead to mistrust between patient and health care provider, especially when the criminal conduct is committed by medical professionals in a position of trust. Our Office will continue to vigorously pursue those who seek to exploit these critically important health care programs by placing greed and profits above patient care."

Attorney General Pamela Bondi praised the takedown.

"This record-setting health care fraud takedown delivers justice to criminal actors who prey upon our most vulnerable citizens and steal from hardworking American taxpayers," said Attorney General Pamela Bondi. “Make no mistake—this administration will not tolerate criminals who line their pockets with taxpayer dollars while endangering the health and safety of our communities.”