The United States Attorney’s Office Eastern District of Michigan announced a $500 million COVID-19 testing plot. The incident involved health insurance providers being billed for COVID-19 testing that never took place.
The charged parties were Cemhan “Jimmy” Biricik (age 46), CEO of Fast Lab Technologies, and Dr. Martin Perlin (age 74), Medical Director of Fast Lab. They “were charged with conspiracy to commit healthcare fraud and more than 50 substantive counts of healthcare fraud.” They were also arrested on July 31st.
Throughout the COVID-19 pandemic, Fast Lab claimed to provide free COVID testing. Upon receiving patients’ insurance information, the company falsely billed multiple insurance providers for several rapid and PCR laboratory tests “across multiple dates for each beneficiary.” Fast Lab stated that “1) the antigen tests had been observed by medical professionals, 2) saliva samples were collected by medical professionals, and 3) PCR testing was performed on those samples.” The U.S. Attorney’s office stated that most specimen was self-collected at home by patients, if they completed the tests at all, and “PCR testing was never performed.” Additionally, “saliva samples were never collected nor returned to Fast Lab.” Dr. Perlin ordered the tests and Biricik made over $50 million off them.
The case is still being reviewed. The U.S. Attorney’s office says “an Indictment is not evidence of guilt.”
