A Texas laboratory owner accused of causing approximately $93 million in fraudulent genetic testing claims is now listed as a wanted fugitive by federal health care investigators, who say he may be in Hyderabad, India.
Khadeer Khan Mohammed, 46, owned American Premier Labs LLC in Richardson, Texas. Federal authorities accuse him of using physicians’ identifying information without their knowledge or consent to bill Medicare for genetic testing involving beneficiaries those doctors did not treat.
Medicare paid at least $65 million on claims connected to the alleged scheme, including approximately $13 million during a 10 day period in 2023. Investigators also seized nearly $6 million from bank accounts controlled by Mohammed.
Mohammed was indicted on a health care fraud charge as part of the Justice Department’s 2025 National Health Care Fraud Takedown. The Department of Health and Human Services Office of Inspector General currently lists him as a fugitive. The charge is an accusation, and Mohammed is presumed innocent unless proven guilty.
Doctors Were Listed on Claims Without Their Knowledge
Federal investigators say the alleged conduct ran from about August 2023 through October 2024 in the Northern District of Texas and elsewhere.
American Premier allegedly submitted Medicare claims using identifying information belonging to physicians who had no treatment relationship with the beneficiaries named on the claims. HHS OIG says those doctors did not order the genetic tests and the testing was not used to provide care to the patients.
The Justice Department said some of the genetic testing billed through the laboratory was never requested, ordered or performed.
Medicare Paid $13 Million in 10 Days
Investigators say the volume of billing accelerated sharply during one period in 2023, when Medicare paid approximately $13 million in suspected fraudulent claims over just 10 days.
The case was investigated by the FBI’s Dallas Field Office and HHS OIG. Prosecutors with the U.S. Attorney’s Office for the Northern District of Texas are handling the criminal case.
Nearly $6 million was seized from bank accounts controlled by Mohammed during the investigation. Federal authorities have not announced a conviction or sentencing because Mohammed’s case remains pending.
Federal Investigators Say He May Be in Hyderabad
HHS OIG identifies Hyderabad, India, as a possible location for Mohammed. His federal fugitive profile lists his date of birth as July 5, 1980, his height as approximately 5 feet 10 inches and his weight as about 170 pounds.
The agency asks anyone with information about his whereabouts to submit a fugitive sighting report or contact its fugitive hotline at 888-476-4453.
What Medicare Patients Should Check for Genetic Testing Fraud
The HHS Office of Inspector General warns Medicare beneficiaries to be cautious when someone unexpectedly offers free genetic testing, a cheek swab or a testing kit and asks for a Medicare number.
HHS OIG recommends having a physician the patient knows and trusts determine whether genetic testing is medically appropriate and order it when necessary. Beneficiaries should not provide Medicare information to unsolicited callers, marketers or other people offering testing outside their normal medical care.
An unexpected testing kit should not automatically be used. HHS OIG advises beneficiaries to refuse or return kits that were not ordered by their physician and keep a record of where the package came from and when it was returned.
Medicare also recommends reviewing Medicare Summary Notices and claims for laboratory services or tests the beneficiary does not recognize. Patients can compare the provider, date and service listed with their own medical records and report anything they did not receive.
Suspected Medicare fraud can be reported through 1-800-MEDICARE or the HHS OIG hotline at 1-800-HHS-TIPS.