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Justice News

Department of Justice
U.S. Attorney’s Office
Eastern District of Michigan

Thursday, April 17, 2014

Dearborn Heights Doctor Convicted Of Health Care Fraud

A Dearborn Heights doctor was convicted today in federal court on charges of illegal drug distribution, health care fraud and money laundering, U.S. Attorney Barbara L. McQuade announced today.

McQuade was joined in the announcement by James Allen, Acting Special Agent in Charge, Drug Enforcement Administration, Detroit Division, and Lamont Pugh, III, Special Agent in Charge, Department of Health and Human Services Office of Inspector General ("HHS-OIG").

U.S. District Judge Arthur J. Tarnow found Dr. Basil Qandil, 36, guilty on all 34 counts in the indictment.

The evidence presented during the two-week trial showed that between 2011 and  2013,  Qandil  prescribed  more  than  3.7  million  dosage  units  of  controlled substances outside the course of legitimate medical practice. The prescriptions were issued after either a cursory examination or no examination at all.  He wrote unlawful prescriptions for narcotic drugs including Oxycodone and Vicodin, which were resold on the street market or used by addicted patients.

The evidence also showed that Qandil committed health care fraud by submitting all new patients to medical tests, including a medically unnecessary pulmonary function test, which were then billed to Medicare or other health insurance programs. Qandil transferred more than $1.5 million in proceeds from his crimes to an overseas bank account in Amman, Jordan.

United States Attorney Barbara L. McQuade stated, “Diversion of prescription drugs causes significant harm. The number of fatal overdoses from prescription drugs in the United States last year was more than six times the number of fatal overdoses from all other illegal drugs combined.”

The case was prosecuted by Assistant U.S. Attorneys Regina R. McCullough and Wayne F. Pratt.

Updated March 19, 2015