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William J. Ihlenfeld, II

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December 5, 2012

West Virginia Doctor Indicted by Federal Grand Jury

Bridgeport Doctor Charged with Health Care Fraud, Tax Offenses, and Bankruptcy Fraud

WHEELING, WEST VIRGINIA - A West Virginia doctor has been charged with twenty-three felonies related to the operation of his dermatology practice in Bridgeport.

United States Attorney William J. Ihlenfeld, II, announced that DR. ALLEN G. SAOUD, age 58, of Clarksburg, West Virginia, has been indicted on multiple counts of “Health Care Fraud” by devising a scheme to defraud Medicare and Medicaid. SAOUD has also been charged with “Making and Subscribing False Tax Returns”, “Obstruction of the Administration of Internal Revenue Laws”, “Falsification of a Bankruptcy Document”, and “False Statement to a Federal Agent.” Additionally, SAOUD was charged with twelve counts of “Bankruptcy Fraud.”

SAOUD was a doctor of osteopathic medicine, specializing in dermatology and licensed to practice in the State of West Virginia. He was the sole owner and officer of AGS, Inc., a dermatological medical practice in Bridgeport, West Virginia.

“Anytime it’s alleged that a scheme exists to defraud taxpayer-funded programs such as Medicare and Medicaid we take the allegations very seriously,” said Ihlenfeld. “Cases like these are a high priority for the Department of Justice and as a result we devote significant resources to the investigation and prosecution of these matters.”

The Indictment also contains a forfeiture allegation in which the United States seeks to obtain a money judgment against SAOUD in the amount of approximately $850,000.

It should be noted that the charges contained in the indictment are merely accusations and not evidence of guilt, and that the defendant is presumed innocent until and unless proven guilty.

The case will be prosecuted by Assistant United States Attorney Andrew R. Cogar and was investigated by the United States Department of Health and Human Service-Office of Inspector General; the Internal Revenue Service; and the West Virginia Department of Health and Human Resources.

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