Chesapeake Medical Center Indicted for Healthcare Fraud

Chesapeake Regional Medical Center (CRMC) has been indicted by a federal grand jury on charges of healthcare fraud and conspiracy, connected to its former OB/GYN, Dr. Javaid Perwaiz, who is serving a 59-year prison sentence for performing unnecessary surgeries. The indictment alleges that CRMC granted Perwaiz surgical privileges from 1984 until his arrest in 2019, despite prior knowledge of his revoked privileges and felony convictions. Between 2010 and 2019, the hospital collected approximately $18.5 million in reimbursements for procedures performed by Perwaiz, many of which were done without patient consent and involved false claims submitted to various insurance programs. U.S. Attorney Jessica Aber stated that CRMC was complicit in a scheme that prioritized profits over patient care. The hospital has denied the allegations, calling them an “excessive overreach” and asserting its commitment to patient safety. The indictment also includes provisions for property forfeiture if CRMC is found guilty.