A Lakewood oncologist and his wife have been indicted by a federal grand jury in connection with an alleged scheme to bill healthcare programs for more medicine than they administered to patients.
Alfred Hongleung Chan, 63, and Judy Yuan Chan, 62, are charged with 20 counts of health care fraud, obstruction of justice and money laundering. Alfred Chan also faces two counts of making false statements.
The indictment was unsealed this week and the Chans are scheduled for arraignment July 29.
They allegedly earned an extra $1.7 million in income for their clinic through the scheme, which started about 2006.
Alfred Chan is accused of shredding slips of paper he gave nurses with instructions on how much medicine to give patients. He would then enter larger amounts on a bill he sent to Medicare and other healthcare programs and doctor patient records to match, according to court documents.
Prosecutors contend Judy Chan prepared the bills with inflated amounts.
The couple also tried to hide their assets after learning of the investigation by transferring them and failing to declare them on financial disclosure forms, according to court documents.
The Chans face up to 20 years in prison if convicted.