Pakistani Nationals Charged in $10 Million Healthcare Fraud Case

Image: Jihad Watch

Two foreign nationals have been accused of taking part in a sophisticated $10 million fraud operation that allegedly targeted government and private health insurance programs in the United States. The charges were outlined in an indictment returned by a federal grand jury in the U.S. District Court for the Northern District of Illinois in Chicago. According to prosecutors, the scheme involved billing for medical services and equipment that were never actually provided, thereby defrauding insurers on a large scale.

Investigators allege that during 2023 and 2024, Burhan Mirza and Kashif Iqbal, along with multiple associates, operated nominee-owned laboratories and durable medical equipment companies to submit false claims to Medicare and various private health benefit programs. These claims covered items and treatments that did not exist, allowing the group to collect substantial fraudulent payments. Mirza, 31, originally from Pakistan, is said to have remained overseas while obtaining personal and professional identifying information—such as patient, provider, and insurer details—without authorization. Prosecutors claim he used this stolen information to support the fake claims submitted through the shell companies.

Iqbal, 48, also a native of Pakistan, was living in Lavon, Texas, and allegedly played a central operational role within the United States. Authorities say he was connected to several durable medical equipment providers that submitted fraudulent claims and that he helped launder the proceeds generated by the operation. He is further accused of coordinating the transfer of illicit funds from the United States to Pakistan, thereby extending the financial network of the alleged scheme across international borders.

The indictment also references three additional co-conspirators who had already been charged earlier in the investigation and have since pleaded guilty to federal health care fraud offenses. Mir Akbar Khan, 57, of West Chicago, allegedly recruited and supervised individuals to serve as “nominee owners” of the fake medical businesses used in the scheme. Among those individuals was Fasiur Rahman Syed, 47, a citizen of India who lived in Chicago. Another associate, Navaid Rasheed, 43, a Pakistani citizen residing in Plano, admitted to tracking fraudulent payments received by the nominee companies and distributing the proceeds among members of the conspiracy. Khan, Syed, and Rasheed are currently awaiting sentencing.

Commentary surrounding the case has suggested that such incidents may represent only a small portion of a broader pattern of transnational fraud targeting welfare and insurance systems. Observers argue that wherever large public benefit programs operate, they can become vulnerable to exploitation by organized networks, particularly when identity theft, shell companies, and cross-border financial transfers are involved. At the same time, the allegations in this case remain subject to the judicial process, and guilt will ultimately be determined in court.

(This Article was originally published by Jihad Watch)