An Indian national, Mohammed Asif, is facing charges of health care fraud and conspiracy in the U.S. District Court in Seattle. Acting U.S. Attorney Teal Luthy Miller announced that Asif was apprehended on April 10, 2025, at Chicago O’Hare International Airport as he attempted to leave the country. The charges are linked to his operation of American Labworks LLC, a diagnostic testing laboratory based in Everett, Washington.
According to the indictment, Asif and others allegedly billed Medicare for COVID-19 and other respiratory illness tests that were neither ordered nor conducted. "Medicare provides critical funding for senior citizens’ health care needs, which makes this type of fraud all the more reprehensible," stated Acting U.S. Attorney Miller.
The indictment details that American Labworks was established in October 2021 and dissolved by March 2025. The lab's license expired in December 2023. Records show that from April to December 2024, the lab billed Medicare over $8.7 million for tests and received more than $1.1 million in payments.
Complaints about billing discrepancies emerged between June 2024 and March 2025, with over 200 grievances filed by Medicare enrollees who claimed they were charged for unreceived tests. Some records even indicated test dates after beneficiaries had died or listed deceased physicians as having referred patients.
Financial records revealed Asif's control over the lab's bank account from which he withdrew substantial amounts before returning to India in May 2024 on a student visa. He re-entered the U.S. in March 2025 amidst ongoing investigations leading to his arrest following an indictment on April 23.
W. Mike Herrington from the FBI’s Seattle office commented on the legitimacy of Asif’s operations: "By all appearances, there is nothing legitimate about Mr. Asif’s company." Robb Breeden from HHS-OIG added that "HHS-OIG will continue to work with our law enforcement partners to hold accountable those who exploit federal health care programs."
If convicted, Asif faces up to ten years imprisonment and fines up to $250,000 for each charge of health care fraud and conspiracy.
The investigation continues under HHS-OIG and FBI oversight while Assistant United States Attorney Philip Kopczynski prosecutes the case.
