Everett lab owner gets 2 years in prison for $1M Medicare fraud scheme

A 35-year-old Indian national has been sentenced to two years in federal prison for orchestrating a Medicare fraud scheme that grossed more than $1 million in taxpayer funds.

Mohammed Asif, the owner and director of American Labworks LLC in Everett, was arrested on April 10 at Chicago O’Hare International Airport while attempting to board an international flight. On Sept. 4, he pleaded guilty to conspiracy to commit health care fraud.

As part of his sentence, Asif was ordered to pay $1,174,813 in restitution and is expected to be deported following his prison term.

Lab owner sentenced for $1M fraud

According to court documents, Asif and his partners submitted fake Medicare claims for COVID-19 tests and other respiratory illness tests that were never ordered or performed. From April to December 2024, American Labworks billed Medicare more than $8.7 million and received more than $1.1 million in payments for tests patients never received.

Investigations revealed numerous irregularities in the lab’s records. Many Medicare beneficiaries reported being billed for tests they never received, and some allegedly had tests billed after their deaths.

Financial records showed that Asif withdrew substantial sums from American Labworks accounts, including a $260,000 withdrawal in May 2024, shortly before temporarily leaving the U.S. He returned in March 2025 as authorities closed in.

Authorities are continuing to investigate the involvement of other individuals in the fraud.

Follow @http://twitter.com/Mynorthwest