CHICAGO — A former top executive at Chicago’s Loretto Hospital has been indicted in what authorities are calling one of the largest pandemic-era healthcare fraud schemes in the country. The 24-count federal indictment unsealed Tuesday alleges that Anosh Ahmed, the hospital’s former chief financial officer, orchestrated a $290 million scheme involving stolen patient data and false COVID-19 testing claims.
$895M in False Claims, $293M Paid Out
Federal prosecutors allege that Ahmed and several associates submitted nearly $895 million in fraudulent claims to the federal Health Resources and Services Administration (HRSA) for COVID tests that were never conducted. Of that amount, the federal government paid out more than $293 million, according to the Chicago Tribune.
Ahmed, who fled to Dubai before he was charged in an earlier embezzlement case, is accused of using stolen patient data — including names, dates of birth, and addresses — from over 150,000 Loretto patient records to support the fake claims. The data reportedly came from hospital visits between 2014 and 2020.
A Web of Shell Companies and Kickbacks
The indictment also names three co-defendants:
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Mohamed Sirajudeen, 53, who ran Chicago Polyclinic LLC
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Mahmood Sami Khan, 36
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Suhaib Ahmad Chaudhry, 34
All were reportedly involved in opening labs in Illinois and Texas that submitted the false testing claims. Authorities say the group fabricated invoices, used encrypted messaging apps, and even destroyed documents and phones to conceal their activities.
Ahmed allegedly created email accounts under the Loretto Hospital domain to impersonate hospital employees, making it appear as if results were being reported officially. He also funneled kickbacks to partners and laundered money through fake contracts.
Luxury Lifestyle and Asset Forfeiture
Prosecutors are now seeking to seize more than $100 million in cash and securities held by Ahmed, in addition to:
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Four luxury homes in Texas
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A fleet of high-end vehicles, including two Rolls-Royces, a Lamborghini Huracan, and a Mercedes-Benz
Not the First Time Ahmed Was in Trouble
Ahmed, 41, had already been indicted in a separate $15 million embezzlement case involving improper COVID vaccine distribution and hospital contracts. He resigned from Loretto in 2021 after media outlets revealed that connected insiders received early vaccine access, including individuals at Trump Tower and Cook County judges.
That earlier case also led to charges against former CEO George Miller, who is cooperating with authorities and expected to plead guilty, as well as others allegedly tied to fake invoices and supply deals.
Wider Implications for Healthcare Oversight
The Loretto Hospital controversy continues to fuel broader concerns about pandemic-era oversight and exploitation of federal relief funds. Lawmakers have repeatedly warned that small community hospitals were particularly vulnerable to internal abuse and external fraud during the chaotic early months of the COVID-19 pandemic.
What do you think about this massive healthcare fraud case? Should hospitals face stricter federal oversight in times of crisis? Let us know your thoughts in the comments at ChicagoSuburbanFamily.com.
