Through this scheme, the transportation companies owned or operated by Arshad and his co-conspirators billed Medicaid over $16 million for trips to three addiction treatment centers in New York City, prosecutors said.
Arshad used the illicit proceeds to expand and perpetuate the scheme by purchasing several additional transportation vehicles and to finance a lavish lifestyle, including the purchase of multimillion-dollar homes and luxury vehicles, such as a Ferrari and multiple BMWs and Mercedes, according to prosecutors.
At least five of Arshad’s co-conspirators have pleaded guilty for their participation in the scheme and are awaiting sentencing, prosecutors said.
Nocella said that while “taxpayers footed the bill, Arshad financed a lavish lifestyle with multimillion-dollar homes and luxury vehicles.”
Today’s sentence sends a clear message that those who defraud public healthcare programs for personal enrichment should take notice of the price this defendant will now pay for his greed,” he said.