Mass. Pain Doc Pleads Guilty to $27M Fraud Scheme

BOSTON – The grimy world of healthcare corruption has been cast in a new light with the conviction of Fathalla Mashali, 62, from Dover, Mass. Mashali pleaded guilty on March 15, 2017, to 27 counts of health care fraud, one count of conspiracy to commit mail fraud, and 16 counts of money laundering. Sentencing for this despicable figure is set for June 21, 2017.

The accused, a licensed physician in Massachusetts and Rhode Island, operated New England Wellness & Pain Management, P.C., under various aliases such as New England Pain Associates, Greystone Pain Management, Inc., and New England Pain Institute, P.C. (NEPA). His scheme targeted Medicare and other health care insurers with a fraudulent ploy that would shock even the most jaded of crime journalists.

From October 2010 to March 2013, Mashali falsely billed for extensive medical services he never provided, and fraudulently charged for urine drug test results. When confronted by Medicare, Mashali’s staff was ordered to falsify patient records, including encounters and backdated test results. The auditors were left in the dust as Mashali’s fraudulent empire crumbled.

Mashali’s greed knew no bounds; he used the proceeds from his $27M scheme to fund a lavish lifestyle, splurging on properties in Dover, Mass., and Florida. But for those who believed they were victims of this malicious man’s scheme, there is hope. The U.S. Attorney’s Office website offers information on this case and instructions for potential victims seeking restitution.

Insurance companies and patients who suspect they were ensnared by Mashali’s fraudulent web can access more details at https://www.justice.gov/usao-ma and https://www.justice.gov/largecases. Those who have documented direct harm may fill out the potential victim identification form for a determination of their rights status.

The grim tale of Fathalla Mashali serves as a stark reminder that even in the seemingly benign field of healthcare, corruption and greed can run rampant. The justice system is moving to address this issue and ensure those who have suffered due to such fraud receive the restitution they deserve.