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Riverside Hospital Exec Charged in $116M Medicare Scam

(Terri Langford/Houston Chronicle)
An executive of Riverside General Hospital was arrested and charged Wednesday in a $116 million Medicare scheme involving kickbacks to patient recruiters and the owners of homes for the elderly and disabled in exchange for steering residents to Riverside’s mental health clinics.

Mohammad Khan, 63, is identified in the indictment as an administrator “who managed and controlled the day-to-day operations of the hospital’s (clinics),” where he is accused of also plying supposed patients with cigarettes, food and coupons redeemable at the hospital’s “country stores” in order to entice them to therapy.

Khan, who began working for Riverside General Hospital in Houston’s Third Ward, is known as “Dr. Khan” by his co-workers even though it appears he is not licensed to practice medicine in Texas. He’s charged with seven counts: conspiracy to commit health care fraud, conspiracy to pay health care kickbacks and five additional health care kickback charges.

Riverside is not charged with any crime. Hospital spokeswoman Tasha Armstead confirmed Wednesday that Khan was Riverside’s assistant administrator and said the hospital is cooperating with authorities. (Read more at Houston Chronicle)

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