Two Pharmacy Owners Charged In Massive Money Laundering And Covid-19 Health Care Scheme

( – Hard times bring out the best in some people and the worst in others. The latter was the case with a couple of New York area pharmacies who decided to profit from the COVID-19 health crisis to the tune of about $30 million.

On December 21, the US Department of Justice unsealed an indictment filed against a couple of sham pharmacy owners for their role in a money laundering and healthcare fraud scheme. Peter Khaim, 40, and Arkadiy Khaimov, 37, were charged with one count each of charges related to money laundering and conspiracy to commit wire and healthcare fraud.

The two individuals exploited Medicaid flexibilities and emergency override billing codes set up to ensure patients can gain access to necessary medications during the coronavirus pandemic. Federal prosecutors say the two men filed fraudulent claims for costly cancer drugs that weren’t provided to patients or authorized by licensed healthcare professionals.

The pair also conspired with a money laundering operator who arranged for money to be transferred from fake pharmacy wholesalers in China for distribution to recipients in Uzbekistan, a Central Asian country and former member of the USSR.

Kaim was released on a $3 million bond, and Khaimov remains in custody at a federal detention area. A date for arraignment hasn’t yet been scheduled.

Copyright 2020,