Pakistani Lab Owner charged in $46M medicare fraud scheme in oregon

PORTLAND: The owner of Oregon Clinical Laboratory in Klamath Falls, Oregon, has been charged by criminal complaint with healthcare fraud after allegedly participating in a scheme to fraudulently bill Medicare Advantage insurance plans for laboratory testing services never performed.

Jahangeer Ali, 34, a citizen of Pakistan, made his first appearance on February 27, 2026, in the Central District of California. A detention hearing was held on March 4, 2026, in the Central District of California and Ali was ordered detained pending further court proceedings.

According to court documents, from June 2025 through January 2026, Oregon Clinical Laboratory submitted more than $46 million in fraudulent claims to Medicare Advantage plans. However, no providers actually ordered testing services and none of the Medicare Advantage beneficiaries on the claims actually received testing services from the company. As a result of the fraud, Medicare Advantage plans paid out over $28 million on the fraudulent claims.

On February 26, 2026, Ali was arrested at the Los Angeles International Airport prior to boarding a flight to Turkey with an ultimate destination of Pakistan.

A detention hearing was held today in the District of Oregon and Ali was ordered to remain in custody pending further court proceedings.

The U.S. Department of Health and Human Services, Office of Inspector General and Federal Bureau of Investigation are investigating the case. Assistant U.S. Attorney Andrew T. Ho is prosecuting the case.

A criminal complaint is only an accusation of a crime, and a defendant is presumed innocent unless and until proven guilty.