LOUISVILLE, Ky. (Dec. 6, 2013) — Attorney General Jack Conway today announced the federal indictment of a Louisville physician charged with multiple counts of unlawful distribution of controlled substances, healthcare fraud and money laundering. Conway made the announcement jointly with David Hale, United States Attorney for the Western District of Kentucky. The case was investigated by the Office of the Attorney General’s Medicaid Fraud and Abuse Control Division, the U.S. Drug Enforcement Agency (DEA), Federal Bureau of Investigation (FBI), and the Louisville Metro Police Department (LMPD).
According to the 14-count indictment, Dr. George Kudmani, 68, operated an obstetrician/gynecological medical practice located in Louisville, Ky. The practice did not employ any other individual with medical training. On average, Kudmani would see more than 35 patients per day, with a typical first-time patient paying $75 for a gynecological exam. On subsequent visits, the patient would typically pay $35 in cash and receive a Schedule II-V controlled substance prescription without a physical examination.
The indictment charges Kudmani with 11 counts of knowingly and intentionally distributing and dispensing controlled substances that were not for a legitimate medical purpose and beyond the bounds of a professional medical practice between Jan. 2009 and Sept. 2012. The controlled substances allegedly prescribed include Oxycodone, Alprazolam, Clonazepam, Hydrocodone, Phentermine and Carisoprodol.
Additionally, Kudmani is charged with two counts of health care fraud for allegedly submitting claims for medically unnecessary services and for writing prescriptions for medically unnecessary controlled substances. The fraud charges state that Kudmani would perform medically unnecessary services and bill health care benefit programs for reimbursement. The charges also state that Kudmani knew patients would have the prescriptions filled at pharmacies and that the pharmacies in turn submitted claims to health care benefit programs for reimbursement.
Kudmani is also charged with one count of money laundering for buying a 2012 Honda Accord with $15,000 in cash and a $5,971 check using money from an unlawful activity.
This case is being prosecuted by United States Attorney’s Office. If convicted, Dr. Kudmani faces a maximum potential penalty of 230 years in prison, a more than $10 million fine, and three years of supervised release.
An indictment is a formal statement of charges and does not imply guilt.