BOSTON (WWLP) – A sleep medicine physician from Massachusetts was indicted by a federal grand jury in Boston for his alleged role in a health care fraud scheme.
According to the office of U.S. Attorney Rachael Rollins, 49-year-old Dr. Pankaj Merchia of Brookline and Boca Raton, Florida was indicted on three counts of money laundering and one count of health care fraud. Merchia turned himself in Tuesday and was expected to appear in Boston federal court in the afternoon.
According to the indictment, Merchia allegedly ran two health care fraud schemes where he billed former patients’ insurance companies for monthly rentals of Continuous Positive Airway Pressure (CPAP) and Bilevel Positive Airway Pressure (BiPap) machines years after the patients stopped using them. Merchia also allegedly billed the insurance company of a family member more than $400,000 for a CPAP machine’s monthly rental knowing that the insurance carrier would not pay for treatment rendered by a family member.
Merchia allegedly used the funds from these schemes to buy an expensive home in Brookline, fund a wire transfer of $250,000 and purchase at least $140,000 in securities.