⏱ 2 min read
Mehrdad Gerami, a 67-year-old Iranian national, pleaded guilty to conspiracy to commit healthcare fraud in Coos Bay, Oregon. From 2021 to the present, Gerami, the owner and operator of Coastal Diagnostic Testing Group (CDTG), overcharged the United States Department of Health and Human Services (HHS), the Veteran’s Health Administration (VA), and numerous private insurance companies for intensive, in-office sleep studies that were never conducted or were conducted at a lower cost.
Gerami and his employees billed for the more expensive in-office sleep studies when more inexpensive at-home sleep studies were actually conducted. In months of low productivity, Gerami instructed staff to falsely bill for sleep studies using patient information despite the studies never occurring on those dates. The estimated loss is $2,124,363.41.
Gerami was charged by Information with conspiracy to commit health care fraud on June 22, 2026. He faces a maximum sentence of 10 years’ imprisonment, a fine of $250,000, and 3 years of supervised release. Gerami will be sentenced on January 26, 2027, before a U.S. district court judge.
As part of the plea agreement, Gerami has agreed to pay restitution in full to his victims. The case was investigated by Health and Human Services Office of Inspector General and Department of Veterans Affairs Office of Inspector General.
📋 Key Facts
- Crime: Fraud & Financial Crimes
- Defendant: Oregon
- Location: OR
- Source: DOJ Press Release
