A federal court in the United States has sentenced Dr. Neil K. Anand, an Indian-origin physician, to 14 years in prison for orchestrating a large-scale health care fraud scheme, highlighting vulnerabilities in the American medical billing system.

Dr. Neil K. Anand, 48, based in Pennsylvania, was ordered to serve 168 months in prison and pay over $2 million in restitution, along with an additional $2 million in forfeiture. He was convicted of multiple charges, including conspiracy to commit health care fraud, wire fraud, money laundering, unlawful monetary transactions, and conspiracy to distribute controlled substances.

According to the U.S. Department of Justice, Anand also faces three years of supervised release following his prison term.

Court records revealed that Dr. Anand used so-called “Goody Bags,” containing sedatives and controlled substances, which were medically unnecessary. He submitted false claims to Medicare, the U.S. Office of Personnel Management, and private insurers, billing over $2.4 million. The scheme involved pharmacies he owned, and the fraudulent claims covered drugs distributed to patients who often had no legitimate medical need for them.

Evidence presented in court showed that Dr. Anand pre-signed blank prescriptions, allowing interns—even those not licensed—to authorize distribution of controlled substances, including oxycodone. Documents indicated that over 20,850 oxycodone tablets were prescribed to a small number of patients through this scheme.

Investigators also discovered that Dr. Anand provided “goody bags” to surgical patients at his outpatient facilities and then billed insurers as if the drugs had been prescribed and medically necessary.

When the investigation intensified, Dr. Anand allegedly transferred $1.2 million to accounts under relatives’ names or intended for a minor beneficiary to conceal his misconduct.

Oxycodone is a potent opioid analgesic (strong prescription painkiller) prescribed to manage moderate to severe pain, particularly when other pain medications are ineffective or intolerable. It operates by altering the central nervous system's response to pain.

While effective for pain relief, oxycodone carries a significant risk of dependence and misuse. Prolonged use can lead to physical dependence, and sudden cessation may result in withdrawal symptoms. Due to its high potential for abuse, oxycodone is classified as a Schedule II controlled substance in the United States. ¹

Dr. Anand and his family highlighted his past service during the 9/11 attacks in New York and his tenure as a U.S. Navy physician, arguing that his reputation was unfairly harmed. His defense team also stressed his work as an anesthesiologist treating survivors in the aftermath of the terrorist attack. However, U.S. District Judge Chad F. Kenney rejected these arguments, emphasizing that Dr. Anand prioritized profit over patient care, putting public safety and trust at risk.

Assistant Attorney General Nicole M. Argentieri from the Justice Department’s Criminal Division stated that Anand’s sentence demonstrates accountability for physicians who misuse their trust to prescribe opioids and illegally defraud federal programs.

However, this is not the first time when Indian Doctors have been under arrest for forging patients abroad. Recently , a lot of Indian origin doctors have been on the radar for being part of scamming patients, Mediclaims and insurance companies for their own benefit.

One such recent case was from Los Angeles where Dr. Shivangi Amin allegedly issued false terminal diagnoses for patients and referred them to hospice care facilities without personally evaluating them, reviewing their medical histories, or verifying their conditions. Reports indicate that she signed prescription forms containing fabricated medical information, which hospices subsequently used to submit claims to Medicare.

Reference:

1. Mayo Clinic. 2025. “Oxycodone (Oral Route) Description.” Mayo Clinic. Accessed September 26, 2025. https://www.mayoclinic.org/drugs-supplements/oxycodone-oral-route/description/drg-20074193.

(Rh/Eth/ARC/MSM)