A neurologist implicated in a $50 million health care fraud has filed for bankruptcy protection for his Yonkers medical practice.
Emad Soliman, president of Westchester Neurological Consultants PC, filed a Chapter 11 petition on March 31 in U.S. Bankruptcy Court in White Plains.
The medical practice estimated it has assets of $50,000 or less and liabilities of $512,204.
Bankruptcy filings so far offer no explanation for the business”™s financial difficulties, but the petition was filed just a month after then-U.S. Attorney Preet Bharara charged Soliman, 47, of Mount Kisco, with conspiracy to commit health care fraud and wire fraud.
The case centers on City Medical Associates P.C., a cardiology and neurology practice in Bayside, Queens, where Soliman worked part time from 2001 to 2004. The most serious allegations concern the clinic president, Asim Hameedi, and his employees.
Over a 12-year period, according to the government, the clinic defrauded Medicaid, Medicare and private health insurance companies out of more than $50 million.
The indictment states Hameedi and clinic employees misrepresented the medical conditions of patients to get insurance preauthorization for tests and procedures. Claims were submitted for tests and procedures that were not done or were medically unnecessary, the government said. Kickbacks were allegedly paid to primary care medical offices in exchange for referrals. And electronic health records at an unnamed Long Island hospital were allegedly used to identify patients to recruit to the clinic.
The clinic was submitting a huge number of insurance claims, the government said, so to hide the unusual level of activity, claims for millions of dollars in medical services or products were submitted under the names of three doctors who did not work there.
Two of the doctors did not consent to the billings. But Soliman, the government said, knew that the clinic was submitting bills for neurological tests he did not perform, supervise or order.
In return, the clinic allegedly paid for Soliman”™s health insurance from 2011 through 2015.
He also is accused of making a false statement to a federal agent about his health insurance coverage.
Soliman entered a not guilty plea on March 1.
In response to a request for comment, a receptionist at his practice said, “Right now he”™s not interested in speaking with anyone from the media.”
Day-to-day activities at Westchester Neurological Consultants have been disrupted for several weeks because the government seized computer hard drives and a server that contain patient records.
“Dozens of patients suffering illnesses such as Lou Gehrig”™s disease, cluster migraine syndrome and Alzheimer”™s disease are being denied access to medications or medical treatment because their medical records are being withheld by the government,” the clinic”™s attorney wrote to the court on March 30.
“Additionally, six doctors who practice at WNC and have no alleged involvement whatsoever in the City Medical indictment are being denied access to their patient medical records and are unable to treat their patients who suffer serious neurological illnesses.”
Soliman is also facing a civil lawsuit.
In 2015, Patricia A. Kelly of Manhattan filed a whistleblower lawsuit against City Medical Associates and Hameedi, in U.S. District Court. The government has intervened under the False Claims Act and added Soliman to the lawsuit.
The defendants are accused of presenting false claims for payment, use of false statements and unjust enrichment. The government is asking for treble damages and penalties for bills paid by the federal government.
Neither the criminal case nor the civil case names Soliman”™s medical practice as a defendant.
In 2014, however, the U.S. Department of Labor sued Westchester Neurological and Soliman in federal court for minimum wage violations. He agreed to a $38,029 consent judgment for back pay and damages.
