Newark Doc Latest Convicted in Kickback Scheme

A Newark doctor has been convicted of receiving cash kickbacks in a widespread diagnostic testing referral scheme, the U.S. Attorney's Office said.

Maryam Jafari, 43, became the 14th doctor and 16th defendant convicted in connection with an investigation into payments made by an Orange-based diagnostic testing facility, U.S. Attorney Paul J. Fishman said.

Jafari was convicted after a three-week trial of all three counts of a superseding indictment charging her with conspiracy and two counts of violating the federal health care anti-kickback statute. The jury returned guilty verdicts late Tuesday afternoon after two hours of deliberations, Fishman said.

This was the second time Jafari stood trial after a jury in 2012 failed to reach a unanimous verdict resulting in a mistrial.

Jafari faces up to five years in prison for each charge and as much as a $250,000 fine or twice the gain or loss by the offense, the U.S. Attorney's Office said.

Jafari was an internal medicine physician licensed in New Jersey and practiced in Newark.  Jafari solicited and received cash kickbacks from Orange Community MRI LLC in exchange for MRIs and CAT scans she referred to the diagnostic testing facility between 2010 through December 2011, the U.S. Attorney's Office said.

OCM printed patient reports at the end of each month that included information like dates of service, patient name, referring health care practitioner and medical insurance to be billed, according to the U.S. Attorney's Office.

The reports kept track of the amount of tests referred by each doctor and to determine the kickback amount paid to the referring doctor, the U.S. Attorney's Office said.

Jafari twice accepted cash payments from a witness cooperating with the state for referrals she made to Orange MRI, the U.S. Attorney's Office said.

One payment in the amount of $1,965 was accepted on Nov. 22, 2011 for three months of tests referred to the diagnostic center, the U.S. Attorney's Office said. The second payment for $420 was accepted in December 2011 for tests referred in October of that year, the U.S. Attorney's Office said.

A sentencing date has not yet been scheduled.