COVID-19 lab gave fake results, billed $14M: Court

(WKBN) – Federal investigators say an Illinois man billed $14 million to the federal government for COVID-19 tests with fake results, according to the U.S. Justice Department.

According to court documents, Zishan Alvi, 45, of Inverness, owned and operated a laboratory in Chicago that performed testing for COVID-19. From February 2021 through February 2022, submitted claims to the Alvi caused claims to the Human Services' Health Resources and Services Administration (HRSA)Department for COVID-19 tests that were not performed as billed.

Investigators said that as part of the scheme, the laboratory released negative COVID-19 test results to patients, even though the laboratory either had not actually tested the specimens or the results were inconclusive.

Court records say that Alvi knew that the laboratory was releasing negative results for tests that were not performed or were inconclusive, but still caused the laboratory to submit claims to HRSA for those tests. HRSA paid the laboratory over $14 million as a result of the fraudulent claims.

Alvi pleaded guilty to one count of wire fraud. He is scheduled to be sentenced on Feb. 7, 2025, and faces a maximum penalty of 20 years in prison.