Health Commissioner Suspends 4 Physicians' Licenses for Illegal Kickbacks, Insurance Fraud, Falsifying Business Records

ALBANY, N.Y. (March 22, 2010) - State Health Commissioner Richard F. Daines, M.D., has used his emergency powers to summarily suspend the license of a Brooklyn physician who conspired to pay kickbacks and rebates to Medicaid patients in order to obtain medications. A summary suspension precludes him from caring for any patients pending the outcome of a disciplinary hearing.

Dr. Muhammad Ejaz Ahmad, 52, of Albertson, specialized in infectious disease, including the treatment of AIDS/HIV patients. Ahmad paid an illegal kickback of $40 to patients at office visits and then referred these patients to one of three pharmacies he owned. The pharmacies then billed Medicaid for medications that were never dispensed, generic versions, or black-market medications.

Ahmad also was sentenced in the U.S. District Court of the Southern District to 21 months in prison followed by three years supervised release, a $100 fine, and ordered to make restitution of $1.7 million.

A summary suspension is based on the Commissioner's determination that the continued practice of medicine by the physician constitutes an imminent danger to the health of the people of New York.

Commissioner Daines also summarily suspended the licenses of the following physicians for insurance fraud:

  • Alexander Rozenberg, M.D., whose offices are in Brooklyn and the Bronx, was found guilty of falsifying business records and insurance fraud. Dr. Rozenberg was sentenced in State Supreme Court to 15 days incarceration and five years probation to run concurrent, including 300 hours of community service.
  • Dr. Alexander Israeli, M.D., of Queens, was found guilty in State Supreme Court of two counts of insurance fraud. Dr. Israeli was sentenced to a three-year conditional discharge.
  • Gope Chelaram Hotchandani, M.D., whose office is in Wisconsin, was convicted in the U.S. District, Western District of Michigan of insurance fraud. Dr. Hotchandani was sentenced to 30 days in prison followed by three years supervised release, a $100 assessment, a $20,000 fine and $18,700 in restitution.

The Office of Professional Medical Conduct in the New York State Department of Health is responsible for investigating complaints about physicians, physician assistants, and special assistants. The Board for Professional Medical Conduct, comprised of some 150 physicians and lay members, is responsible for adjudicating charges of misconduct.

Information about these summary suspensions and all other disciplinary actions taken against physicians licensed in New York State is available at http://www.nyhealth.gov/professionals/doctors/conduct/.