Parmjit “Paul” Parmar, 55, of Colts Neck<\/a>, was sentenced to five years in prison in federal court in Newark on Tuesday. The disgraced CEO\u00a0has also been ordered to pay $125 million in restitution to the victims of his fraud scheme, according to the U.S. Attorney’s Office for New Jersey.<\/p>\n Parmar pleaded guilty last year to\u00a0conspiracy to commit securities fraud. However, the case isn’t completely wrapped up; two of his accused conspirators in the healthcare industry are on the lam.<\/p>\n Healthcare fraud case still has two fugitives<\/p>\n In May 2018,\u00a0Parmar, Chief Financial Officer<\/a> Sotirios “Sam” Zaharis, and company secretary Ravi\u00a0Chivukula\u00a0were charged with conspiracy to commit securities fraud, securities fraud, and wire fraud, according to federal prosecutors. Zaharis and Chivukula\u00a0have been considered fugitives ever since.<\/p>\n Their $212 million plot bankrupted<\/a>\u00a0Constellation Healthcare Technologies, Inc.,\u00a0a Houston-based company<\/a>. In September 2017, Parmar and his conspirators lost their jobs. The healthcare company was later sold.<\/p>\n READ MORE:\u00a0NJ candidate Adam Hamawy faces scrutiny over terror trial ties<\/a><\/p>\n Paul Parmar at the Regal Union Square on Oct. 24, 2007 in New York City. (Photo by Stephen Lovekin\/Getty Images\/Canva)<\/p>\n Paul Parmar at the Regal Union Square on Oct. 24, 2007 in New York City. (Photo by Stephen Lovekin\/Getty Images\/Canva)Fake customers fueled massive investor scam<\/p>\n Investigators uncovered that the fraud scheme\u00a0started in May 2015. The company was publicly traded, and its executives wanted to take it private. Parmar and the other executives fabricated countless bank records to create phony customers and misrepresent their revenues.<\/p>\n The plan was to defraud investors, and it worked to the tune of hundreds of millions of dollars, according to prosecutors. One private equity firm put up\u00a0$82.5 million, while other financial groups invested another $130 million.<\/p>\n The healthcare company executives “grossly” inflated the company’s value, prosecutors said. When it was time to take the company private, Constellation was valued at over $300 million. It went belly-up in March 2018, and Parmar was charged two months later.<\/p>\n Report a correction<\/a> \ud83d\udc48 | \ud83d\udc49 Contact our newsroom<\/a><\/p>\n Largest tax bill increases in New Jersey in 2025<\/p>\n These are the municipalities in New Jersey where the average tax bill increased by at least a thousand dollars in 2025, starting with the lowest. The data is from the New Jersey Department of Community Affairs.<\/p>\n Gallery Credit: New Jersey 101.5<\/p>\n Escape to Serenity in New Jersey: Discover These Charming Bed and Breakfasts<\/p>\n Here is a list of the best bed and breakfast spots in 16 NJ counties. (Note: After a long, extensive search, there are no notable B&Bs in Bergen, Camden, Cumberland, Hudson, and Middlesex counties).<\/p>\n Gallery Credit: Jen Ursillo<\/p>\n","protected":false},"excerpt":{"rendered":"\ud83d\udcb0 New Jersey healthcare CEO sentenced to 5 years for a $212M securities fraud conspiracy.\ud83d\udea8 Federal prosecutors say…\n","protected":false},"author":2,"featured_media":638129,"comment_status":"","ping_status":"","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[59],"tags":[97,252,253,10890,10891],"class_list":["post-638128","post","type-post","status-publish","format-standard","has-post-thumbnail","category-health-care","tag-health","tag-health-care","tag-healthcare","tag-new-jersey-news","tag-ultimate-new-jersey"],"_links":{"self":[{"href":"https:\/\/www.newsbeep.com\/us\/wp-json\/wp\/v2\/posts\/638128","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/www.newsbeep.com\/us\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.newsbeep.com\/us\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.newsbeep.com\/us\/wp-json\/wp\/v2\/users\/2"}],"replies":[{"embeddable":true,"href":"https:\/\/www.newsbeep.com\/us\/wp-json\/wp\/v2\/comments?post=638128"}],"version-history":[{"count":0,"href":"https:\/\/www.newsbeep.com\/us\/wp-json\/wp\/v2\/posts\/638128\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/www.newsbeep.com\/us\/wp-json\/wp\/v2\/media\/638129"}],"wp:attachment":[{"href":"https:\/\/www.newsbeep.com\/us\/wp-json\/wp\/v2\/media?parent=638128"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.newsbeep.com\/us\/wp-json\/wp\/v2\/categories?post=638128"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.newsbeep.com\/us\/wp-json\/wp\/v2\/tags?post=638128"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}![\"New](\"https:\/\/www.newsbeep.com\/us\/wp-content\/uploads\/2026\/05\/attachment-wkxwfm-square.png\")
<\/p>\n