Damian Williams, the United States Lawyer for the Southern District of New York, declared right now that PATRICK KHAZIRAN, a/k/a “Dr. Pat,” pled guilty to conspiracy to commit health treatment fraud in link with a plan to defraud the Countrywide Basketball Affiliation (“NBA”) Players’ Overall health and Welfare Gain Program. KHAZIRAN pled guilty in advance of U.S. District Judge Valerie E. Caproni.
U.S. Attorney Damian Williams reported: “Khaziran abused his place as a healthcare services service provider by creating fraudulent invoices and defrauding the NBA Players’ Wellness and Welfare Gain Plan of at minimum $1.3 million. I thank our law enforcement partners in the FBI for their challenging operate unraveling this pervasive plan. My workplace will keep on to examine those who abuse their positions as health-related company suppliers to commit fraud.”
In accordance to the Information and facts, public court docket filings, and statements made in court:
The NBA Players’ Health and Welfare Advantage Approach (the “Plan”) is a health and fitness care system providing rewards to suitable active and previous gamers of the NBA. KHAZIRAN is a chiropractor licensed in the State of California who owns and operates a chiropractic business office (“Chiropractic Office environment-1”), which is a chiropractic and rehabilitation business office in Los Angeles, California. Chiropractic Business-1 serves the common public and also gives rehabilitation companies to qualified athletes.
From at minimum in or about 2016, up to and which include at the very least in or about 2019, KHAZIRAN participated in a plan with other several former NBA players, together with Terrence Williams and Keyon Dooling, to defraud the Approach. KHAZIRAN’s purpose in the scheme was to doc that previous NBA gamers received sure professional medical products and services when, in truth and in reality, the healthcare companies had been never furnished.
KHAZIRAN completed his part in the plan in two means. Very first, commencing in 2016, KHAZIRAN produced, and brought about other folks to make, fraudulent invoices for former NBA players. The previous NBA players that been given fraudulent invoices then, in change, submitted the fraudulent invoices to the Plan to request reimbursements that they have been not entitled to. 2nd, KHAZIRAN charged, and prompted other people to charge, the Prepare-issued debit playing cards of former NBA gamers. The Plan-issued debit cards were being intended to be applied by Plan participants to pay back for eligible health care solutions at the level of services. Having said that, KHAZIRAN billed the Strategy-issued debit playing cards of former NBA gamers for clinical companies that had been in no way truly offered. In return for his participation in the plan, KHAZIRAN obtained somewhere around 33% of the fraudulent proceeds he documented—i.e., 33% of the value of the fraudulent invoices and 33% of the fraudulent fees on Prepare-issued debit playing cards, which totaled roughly $1.3 million. The remaining fraudulent proceeds had been kept by the previous NBA players KHAZIRAN conspired with.
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KHAZIRAN, 40, of Los Angeles, California, pled responsible to one rely of conspiracy to commit health care fraud, which carries a optimum time period of ten several years in jail. As aspect of his guilty plea, KHAZIRAN agreed to spend restitution of $1,300,000 and to forfeit $429,000 to the United States. KHAZIRAN is scheduled to be sentenced on January 12, 2023.
The optimum opportunity sentence in this situation is approved by Congress and is offered right here for informational uses only, as any sentencing of the defendant will be identified by the judge.
Mr. Williams praised the remarkable investigative perform of the Federal Bureau of Investigation.
The prosecution of this situation is being managed by the Office’s Complex Frauds and Cybercrime Device. Assistant United States Attorneys Ryan B. Finkel and Kristy J. Greenberg are in cost of the prosecution.
 Expenses versus Williams and Dooling are pending.