US agents raid genetic testing labs in Medicare fraud probe

FBI and other federal agents execute a search warrant on Clio Laboratories in Lawrenceville, Georgia in the US, on Friday. (Reuters)
Updated 29 September 2019
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US agents raid genetic testing labs in Medicare fraud probe

  • 35 people charged over one of largest federal healthcare fraud schemes
  • Scam estimated to have caused caused $2.1 billion in losses to federal healthcare insurance programs

WASHINGTON: US federal agents raided genetic testing laboratories, and 35 people were criminally charged in four states in a crackdown on genetic testing fraud that officials said caused $2.1 billion in losses to federal healthcare insurance programs.

Officials at the Justice Department and Health and Human Services Department Office of the Inspector General said that charges were filed in Florida, Texas, Louisiana and Georgia in “one of the largest healthcare fraud schemes ever charged.”

Among those facing charges was Khalid Satary of Suwanee, Georgia, owner of Clio Laboratories in Lawrenceville, Georgia, who was accused in an indictment of soliciting medically unnecessary genetic cancer tests and paying illegal bribes and kickbacks. Satary is a convicted felon who previously ran a toxicology lab that went bust in 2016 amid an ongoing federal probe into illegal kickbacks.

Several labs connected to Satary, including Clio, were featured in a special report by Reuters on Wednesday that raised questions about Clio’s Medicare billing practices and whether genetic tests the lab performed on elderly people were medically necessary.

A Reuters journalist early on Friday witnessed agents from the FBI and the US Department of Health and Human Services inspector general’s office search Clio, Elite Medical Laboratories and medical billing company Laboratory Experts, which are all located in the same business complex. All three of those companies are connected to Jordan Satary, the son of Khalid Satary. Neither father nor son could be reached for comment.

Victoria Nemerson, Clio’s general counsel, did not respond to requests for comment. Nemerson previously said that Clio’s testing is proper and that the firm commits “substantial time and resources to meeting our legal duties.”

The use of genetic testing, which helps people to determine their risks of developing cancer and other diseases, has skyrocketed in the US since 2015.

For Medicare, the public insurance program for elderly and disabled Americans, payouts for genetic tests jumped from $480 million in 2015 to $1.1 billion in 2018, a Reuters analysis found.

Genetic testing has sparked more than 300 federal investigations involving healthcare fraud and illegal kickbacks.

The fraud schemes typically involved marketers’ hiring sales reps to get elderly people to provide a cheek swab that they are told could be tested to help them understand their risks of developing cancer or whether their genetics could unlock clues about how they will respond to drug treatments. Doctors signed off on the tests as being medically necessary, and the swabs were sent for testing to labs that sought Medicare payments. But many of the lab tests are not relevant to the patient’s history, and some of the doctors sign off on the results without conferring with the patient, investigators say.

By law, all diagnostic lab tests must be ordered by a doctor treating a patient for a specific condition.

Others charged included Minal Patel, the founder of Georgia-based LabSolutions, and Jamie Simmons, the founder of two telemedicine companies called MedSymphony and Meetmydocc.

Lawyers for Patel and Simmons could not be immediately reached.

Patel is accused of defrauding the Medicare and Medicaid insurance programs in connection with genetic cancer tests and paying kickbacks. Simmons is charged with conspiring to commit healthcare fraud and paying and receiving kickbacks that led to Medicare billings of more than $56 million.


Mali junta appoints general to replace sacked civilian PM

Updated 8 sec ago
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Mali junta appoints general to replace sacked civilian PM

BAMAKO: Mali’s junta has named military officer Gen. Abdoulaye Maiga the new prime minister after sacking civilian Premier Choguel Kokalla Maiga a day earlier following his criticism of the military leaders.

Abdoulaye Maiga had, until now, served as government spokesman in the West African country, which is plagued by extremist and separatist violence and has been led by the military since back-to-back coups in 2020 and 2021.

“Major General Abdoulaye Maiga is appointed prime minister,” said a decree issued by junta chief Gen. Assimi Goita and read out by the secretary general of the presidency on state television station ORTM.

Abdoulaye Maiga was not in the first group of colonels who overthrew the civilian president in August 2020 and who have since been promoted to generals, but he quickly joined them.

His appointment to replace civilian prime minister Choguel Kokalla Maiga confirms the military’s hold on power.

In June 2022, the junta promised to organize elections and hand over power to civilians by the end of March 2024 but later postponed elections indefinitely. Gen. Maiga will have to form a new government to replace the one sacked on Wednesday, which the junta closely controlled. Some key junta figures, such as Defense Minister Gen. Sadio Camara and Minister of Reconciliation General Ismael Wague, were Cabinet members.


Kenya scraps Adani deals as Ruto attempts to reset presidency

Updated 7 min 10 sec ago
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Kenya scraps Adani deals as Ruto attempts to reset presidency

NAIROBI: Kenyan President William Ruto sought on Thursday to turn the page on a challenging year, canceling controversial deals with India’s Adani Group and vowing to tackle corruption, police kidnappings, and gender-based violence.

With the country on edge over multiple issues, there was a heavy police presence around parliament in Nairobi ahead of Ruto’s annual State of the Nation address.

His speech did not shy away from the many controversies during his administration.

The biggest shock was his announcement that India’s Adani Group would no longer be involved in plans to expand Kenya’s electricity network and its main airport, Jomo Kenyatta International.

The Adani Group was to invest $1.85 billion in the Jomo Kenyatta airport and $736 million in state-owned utility KETRACO, despite claims of corruption in the procurement process.

The final straw may have come when the Indian group’s founder, Gautam Adani, was charged in the US on Wednesday with massive bribery and fraud. Ruto said his decision was based on “new information provided by investigative agencies and partner nations.”

He also addressed the deep concern in Kenya over a spate of abductions by security forces following mass protests between June and August over an unpopular finance bill.

Rights groups accuse the security forces of a brutal crackdown, with more than 60 people killed during the protests and dozens kidnapped in the following months, many of them tortured and some killed.

Ruto said many detentions were legitimate actions against “criminals and subversive elements.”

But he added: “I condemn any excessive or extrajudicial action which puts the life and liberty of any person at risk, including disappearances and threats to life.”

He also addressed gender-based violence after reports that 97 women have been murdered in the last three months alone.

To loud cheers from the women in parliament, Ruto called on all of society to help raise boys “into morally upright men who will never need to affirm their masculinity at the expense of women.”

Ruto won a hard-fought election in 2022 with a pitch to help the country’s poor.

However, large debts have left Kenya spending more on interest payments than health and education.

While economic growth has remained relatively strong at 5.4 percent last year, a third of Kenya’s 52 million people live in poverty.

“It is undeniable that for many Kenyans, times are hard, and the struggle to meet their basic daily needs is daunting,” Ruto said.

But he listed a series of successes, including taming inflation — down from 9.6 percent to 2.7 percent over two years — stabilizing the currency and increasing agricultural production.

He also heralded a new health insurance scheme, beset by technical difficulties since its launch last month. 

He vowed it would ultimately provide “accessible and affordable” health care nationwide.

Ruto came into his speech with an urgent need to reset his presidency after mounting criticism, including from church leaders, over abductions, the cost-of-living crisis, and corruption.

Recent weeks have also seen international condemnation over the forced extradition of foreign nationals kidnapped on Kenyan soil, including four Turkish refugees and the Ugandan opposition leader Kizza Besigye.


Heavy gunfire erupts in South Sudan’s capital Juba

Updated 21 November 2024
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Heavy gunfire erupts in South Sudan’s capital Juba

  • The gunfire began around 7 p.m. local time and continued sporadically for more than an hour before dying down
  • Analysts said the sacking of Akol Koor reflected a power struggle at the highest levels of government

NAIROBI: Heavy gunfire erupted in South Sudan’s capital Juba on Thursday evening after security forces moved to arrest the former head of the intelligence service, according to Reuters reporters and an alert sent to United Nations staff.
The gunfire began around 7 p.m. local time (1700 GMT) and continued sporadically for more than an hour before dying down, Reuters reporters said.
A UN safety alert to staff members in Juba, seen by Reuters, said the shooting was related to the arrest of the former head of the National Security Service (NSS). It urged UN staff to shelter in place.
In early October, President Salva Kiir dismissed Akol Koor Kuc, who had led the NSS since the country’s independence from Sudan in 2011, and appointed a close ally to replace him.
Reached by telephone, a military spokesperson said he was trying to establish what was going on.
Analysts said the sacking of Akol Koor reflected a power struggle at the highest levels of government. It came weeks after the transitional government that Kiir leads announced that elections expected in December would be postponed for a second time.
Rival factions loyal to Kiir and First Vice President Riek Machar fought a civil war from 2013 to 2018 that resulted in hundreds of thousands of deaths.
The two have governed together since then as part of a transitional government. There has been relative peace, but the opposing forces clash periodically in addition to frequent fighting among a patchwork of armed groups in rural areas.


Putin says hit Ukraine with new mid-range ballistic missile

Updated 21 November 2024
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Putin says hit Ukraine with new mid-range ballistic missile

  • Putin said in a televised address that Russia carried out “testing in combat conditions of one of the newest Russian mid-range missile systems”
  • Russia struck the central Ukrainian city of Dnipro with a barrage of missiles early Thursday

MOSCOW: Russian President Vladimir Putin said Thursday that the country’s forces had hit Ukraine with a new mid-range ballistic missile.
Putin said in a televised address that Russia carried out “testing in combat conditions of one of the newest Russian mid-range missile systems... Our engineers named it Oreshnik,” which means hazel tree in Russian.
Russia struck the central Ukrainian city of Dnipro with a barrage of missiles early Thursday.
The Ukrainian air force and President Volodymyr Zelensky accused Russia of apparently using an intercontinental ballistic missile, while Ukrainian experts were still examining the evidence to ascertain the type of missile used.
Putin said in his address that Russia launched a combined strike on a defense industry target in Ukraine.
He described Oreshnik as a “ballistic missile” that was deployed in this case “in a non-nuclear hypersonic configuration,” saying that the “test” had been successful and had hit its target.
Air defenses cannot intercept the Oreshnik, which attacks at a speed of Mach 10, or 2.5-3 kilometers per second, Putin said.
“Modern air defense systems... cannot intercept such missiles. That’s impossible,” he said.
“As of today there are no means of counteracting such a weapon,” the president boasted.
He said Russia was testing the Oreshnik in combat conditions “in response to the aggressive actions of NATO countries toward Russia.”


UK urged to honor ICC’s arrest warrants against Israeli leaders

Updated 21 November 2024
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UK urged to honor ICC’s arrest warrants against Israeli leaders

  • Warrants issued on Thursday against Israel’s ministers, officials of Hamas

LONDON: The British government has been urged by the Council for Arab-British Understanding to immediately honor International Criminal Court arrest warrants issued against Israeli Prime Minister Benjamin Netanyahu and former Defense Minister Yoav Gallant.

The ICC issued the warrants on Thursday for Netanyahu, Gallant, and an official of Hamas, accusing them of war crimes and crimes against humanity over the war in Gaza and the attacks on Oct. 7, 2023, that triggered Israel’s offensive in the Palestinian territory.

CAABU director Chris Doyle emphasized the gravity of the situation, accusing the UK government of failing to hold Israel accountable for its actions in violation of international law.

Doyle said: “This decision highlights how woefully the UK government has handled the situation of Israeli atrocities and war crimes.

“It now must demonstrate, with concrete action, that this government will honor its pledge to uphold respect for international law and the ICC by abiding in full with the ICC decision.”

Doyle also called for immediate measures, including a full arms embargo on Israel, the cessation of military and security cooperation, and an end to arms sales while atrocities were allegedly being carried out in Gaza.

CAABU warned that failure to comply with the ICC’s warrants could severely damage the UK’s international standing, making it complicit in alleged crimes against humanity, including forced displacement, apartheid, and genocide.

“The UK’s reputation globally would be trashed,” Doyle cautioned.

The organization stressed that the ICC’s warrants represented a crucial step toward justice and accountability for Palestinians. However, Doyle stressed the need for swift action.

He said: “There is no time to wait; justice delayed is justice denied. The UK needs to uphold international law, accountability, and ensure justice with immediate effect by complying with these arrest warrants.”

The UK government has yet to issue a formal response to the ICC’s decision.