Department of Justice Reaches Tentative Agreement with Chesapeake Regional Medical Center Over Healthcare Fraud Charges
The Department of Justice (DOJ) has reached a tentative agreement with Chesapeake Regional Medical Center (CRMC) to resolve charges of healthcare fraud, conspiracy to defraud the U.S., and interference with government functions. These charges stem from the actions of former OBGYN Dr. Javaid Perwaiz, who is currently serving a 59-year federal prison sentence for performing medically unnecessary surgeries, including irreversible hysterectomies and improper sterilizations, and defrauding healthcare programs of over $20.3 million. The agreement, which is pending federal judge approval, would allow CRMC to avoid a criminal trial. Under the terms, CRMC must admit to certain facts, appoint an independent monitor to ensure compliance, pay restitution to healthcare benefit programs like Medicaid and Medicare, and establish a $12.8 million fund for patients of Dr. Perwaiz who received procedures at CRMC. This fund is intended to compensate victims for medical procedures or therapy under the Mandatory Victims Restitu...