NJ woman won $10 million collecting fake drug insurance, feds say

NJ woman won $10 million collecting fake drug insurance, feds say

NEW JERSEY — A woman is charged with a multimillion-dollar insurance scam after filing false claims about drugs her pharmacies never shipped to customers, New Jersey federal officials said.

Authorities have arrested Aysha Khan on charges related to a year-long fraud scheme to the tune of nearly $10 million, U.S. Attorney Phillip Sellinger has announced. The 33-year-old was arrested and was scheduled to appear before a judge in federal court in Newark on Friday.

The Kinnelon, New Jersey woman reportedly runs four “specialty pharmacies” in New York, New Jersey, Texas and Florida, which supply drugs used to treat conditions including hepatitis C, Crohn’s disease and arthritis rheumatoid.

Federal investigators allege Khan billed health insurance providers between 2015 and 2022 for drugs his pharmacies never dispensed. Often, pharmacies charged providers to refill prescriptions that staff never intended to dispense.

Two of Khan’s alleged operations were performed at Metro Pharmacy in Queens and Golden Pharmacy in Garfield, New Jersey.

In some cases, according to federal authorities, staff became aware of insurance billing issues and attempted to correct orders, but Khan and several unnamed co-conspirators stepped in to keep the program running.

An indictment against Khan charges the 33-year-old with one count of health care fraud and four counts of health care fraud, each carrying a maximum sentence of 10 years in prison. jail and a $250,000 fine.

Contact details for Khan’s legal representation were not immediately available.

Ashley Johnson
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