Louisville Physician Sentenced To 48 Months In Prison For Unlawful Distribution Of Controlled Substances And Health Care Fraud

LOUISVILLE, Ky. – United States Attorney John E. Kuhn, Jr., today announced the 48 month sentence of a Louisville physician, in United States District Court, by Chief District Judge Joseph H. McKinley, Jr., for unlawful distribution of controlled substances and health care fraud. Restitution will be determined at a later date by Chief Judge McKinley.

“Despite his physician’s oath to do no harm, Dr. George Kudmani recklessly prescribed opioids, for no legitimate medical purpose, to patients suffering from substance use disorders,” stated U.S. Attorney John Kuhn. “I hope today’s sentence will bring some measure of closure to those patients and families harmed by Dr. Kudmani. I hope, too, this sentence will send a message to physicians that prescribing opioids outside the scope of legitimate medical care will be punished.”

George Kudmani, 71, was convicted of nineteen counts of unlawfully distributing controlled substances and eight counts of health care fraud, following a seven-day jury trial, in Louisville, on January 26, 2017.

After trial, Kudmani was convicted of unlawfully distributing and dispensing controlled substances, not for a legitimate medical purpose and beyond the bounds of a professional medical practice, between July 2009 and September 2012. The controlled substances prescribed were Oxycodone, a schedule II controlled substance, and Hydrocodone, a schedule III controlled substance.

Kudmani was also convicted of health care fraud for falsely and fraudulently billing Kentucky Medicaid (Passport) by submitting claims for medically unnecessary Transvaginal Ultrasounds (TVS), TVSs not performed, and billing for TVS reports that were never prepared for patients, between January 2009 and September 2012.

Kudmani operated an obstetrical and gynecological medical practice located at 9702 Stonestreet Road, in Louisville, Kentucky from December of 1980 until 2012. The practice did not employ any other individual with medical training. Evidence developed at trial demonstrated that between 2009 and 2012, a typical first-time patient would pay $75 for a gynecological exam, then typically pay $35 in cash during later visits to receive a Schedule II-V controlled substance prescription without a physical examination. Multiple patients testified to paying cash and being prescribed controlled substances for years.

In addition to the 48 month sentence, Kudmani owes $2,600 in special penalties and will serve three years of supervised release. The amount of money he will be required to forfeit and to pay victims as restitution will be determined by the Court in a later order.

This case was prosecuted by Assistant United States Attorneys Joseph Ansari and Lettricea Jefferson-Webb, assisted by paralegal Lori Cracknell and was investigated by the United States Drug Enforcement Administration (DEA), Federal Bureau of Investigation (FBI), Kentucky Medical Fraud Control Unit and Louisville Metro Police Department (LMPD).