Federal prosecutors in Chicago have unleashed a major crackdown on healthcare fraud, indicting two Pakistani nationals in a staggering $10 million scheme targeting Medicare and private insurers. Burhan Mirza, 31, a Pakistan resident, and Kashif Iqbal, 48, from Lavon, Texas, face serious charges for orchestrating fake claims through sham labs and durable medical equipment providers.
The duo allegedly ran their operation from 2023 to 2024, using nominal owners to front bogus businesses. They submitted fraudulent bills for services and equipment never delivered, stealing identities of patients, providers, and insurers without consent. Mirza is accused of harvesting personal data to prop up these phony claims, while Iqbal managed multiple DME suppliers and coordinated money laundering to funnel proceeds back to Pakistan.
U.S. Deputy Attorney General Todd Blanche condemned the plot, stating, ‘These alleged criminals stole from a program designed to provide health benefits to American seniors and disabled individuals. We will not tolerate schemes that funnel taxpayer money to criminals.’
U.S. Attorney for the Northern District of Illinois Andrew S. Butros added, ‘Every fake claim in this case was like picking the pocket of a senior citizen or disabled person relying on Medicare for essential care.’ He emphasized the theft from taxpayers funding America’s healthcare promises.
Mirza faces 12 counts of healthcare fraud and 5 of money laundering. Iqbal is hit with 12 fraud counts, 6 laundering charges, and one for lying to federal agents. Court dates are pending. Three co-defendants—Mir Akbar Khan, Fasiur Rahman Syed, and Naveed Rashid—have already pleaded guilty to federal fraud charges and await sentencing.
This case underscores the growing threat of international fraud rings exploiting U.S. healthcare systems, prompting renewed vigilance from authorities to safeguard public funds.