Central New York Doctor Settles Improper Billing and Controlled Substance Act Claims

SYRACUSE, NEW YORK – Ahmad M. Mehdi and his medical practice, Ahmad M. Mehdi, M.D., P.C. (“Mehdi”), agreed to pay a total of $900,000 to resolve civil claims for up-coding billings for some medical services, billing for smoking cessation counseling services that were not adequately documented, and allegedly improper prescribing of opioids, announced United States Attorney Carla B. Freedman.

Mehdi operates a general medical practice with offices in Groton and Tully, New York.  According to the settlement agreement, between January 1, 2012, and September 17, 2018, Mehdi caused false claims to be submitted to federal healthcare programs by billing for some services at a higher rate of reimbursement than it would be entitled to for the service actually provided, a scheme commonly referred to as “upcoding.” Mehdi also submitted billing to federal healthcare programs for some smoking cessation counseling services that were not sufficiently documented.  This settlement also resolves claims that Mehdi violated the Controlled Substances Act between April 1, 2018, and December 31, 2020, by prescribing opioids outside the usual course of professional practice to three patients.  Mehdi has agreed to pay $331,250 to the United States to resolve all of these claims.  Mehdi will also pay $568,750 to the State of New York pursuant to the terms of a separate agreement.

“Providers who increase their own profits by over-billing for medical care increase medical costs for all of us and drain critical funds from Medicare and other government health programs,” said U.S. Attorney Freedman.  “We will continue to hold accountable medical professionals who undermine our healthcare system by over-billing for care.”

“Every dollar scammed from Medicaid is a dollar not spent caring for New Yorkers with actual medical needs,” said New York Attorney General Letitia James. “I am proud of the work my team did, together with the U.S. Attorney’s Office for the Northern District of New York, in uncovering these false claims and securing these funds. Let this settlement be a clear message: We have zero tolerance for lying to Medicaid, and we will hold those who do accountable.”

U.S. Attorney Freedman thanks the New York Attorney General’s Office for its collaboration in the investigation and resolution of this matter

The matter was investigated by the U.S. Department of Health and Human Services Office of Inspector General and the New York Attorney General’s Office Medicaid Fraud Control Unit.  Assistant U.S. Attorneys Christopher R. Moran and John Hoggan handled this matter for the U.S. Attorney’s Office.