For release on March 12, 2019
Julie Sousa, Deputy District Attorney
Insurance Fraud Unit
LOS GATOS URGENT CARE CLINIC CHARGED WITH INSURANCE FRAUD
The married owner and manager of Los Gatos Urgent Care Clinic were arraigned today on felony fraud charges after an investigation showed that they massively overbilled clients, in one case billing a patient who stepped on a sea urchin $700 for a pair of foam slippers worth less than $10.
One audit of the business operated by Dr. Farzaneh Tabrizi, 50, and Ali Moayed, 53, revealed a 100% error rate for billing, including “up-coding”- falsely claiming a more serious injury or illness - and billing for services not rendered.
The Monte Sereno couple are charged with filing false insurance claims. If convicted, they may face paying back tens of thousands of dollars in restitution and time in jail.
“People go to medical clinics to get care, not conned,” prosecutor Julie Sousa said. “The District Attorney’s Office has no tolerance for those in the medical care profession who take advantage of ill and injured clients to defraud them and their insurance companies.”
Spurred by citizen complaints, a DA investigation showed that LGUC patients were billed for diagnostic testing they did not receive.
Another patient came in for drug testing required for a new job. Even though the patient’s company paid for the testing, LGUC illegally charged her a co-pay and her insurance company $425 for a non-existent urinary tract infection.
One of the defrauded insurance companies estimated their loss from LGUC’s fraudulent practice at more than $200,000.
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