GREENSBORO, NC — Chaudhry Shabbir Ahmed, 45, of North Carolina, has pleaded guilty to conspiring to launder over $3 million as part of a larger $100 million health care fraud scheme, the U.S. Attorney’s Office for the Middle District of North Carolina announced today.
The Fraudulent Medical Scheme
Ahmed and a co-conspirator orchestrated a fraudulent operation involving two medical supply businesses—Dune Medical Supply LLC in North Carolina and Prospect Health Solutions Inc. in Florida. They falsely claimed Ahmed owned the businesses using a sham purchase agreement, while the co-conspirator secretly controlled them.
The two companies submitted more than $100 million in false Medicare claims for durable medical equipment that beneficiaries neither requested nor received. Between April and August 2024, Medicare reimbursed the companies with more than $33 million, which was then accessed by Ahmed.
Large Withdrawals and Money Laundering
Ahmed used these funds to withdraw large sums from the companies’ bank accounts. In June and August 2024, he withdrew $400,000 and $500,000, respectively, and used the proceeds for personal gain.
As part of his plea agreement, Ahmed agreed to forfeit over $17.6 million in assets, including a Rolex watch and cryptocurrency seized during the investigation.
Possible Sentencing
Ahmed faces up to five years in prison, along with three years of supervised release and possible monetary penalties. His sentencing is expected in the coming months. This case highlights the ongoing fight against fraudulent activities and the misuse of Medicare funds intended for those in need of medical assistance.
