Michigan Pharmacist Faces 46 Months Behind Bars in $4 Million Medicare Fraud Bust

DETROIT (AP) — In a stark reminder of the vulnerabilities in America's health care system, a former pharmacist from Wayne County was handed a 46-month prison sentence Monday for orchestrating a brazen scheme that siphoned nearly $4 million from Medicare taxpayers.

Nabil Fakih, 50, who once helmed a pharmacy in Dearborn Heights, Michigan, pleaded guilty in August to a single count of health care fraud in the U.S. District Court for the Eastern District of Michigan. Beyond the prison term—equivalent to nearly four years—U.S. District Judge David M. Lawson mandated Fakih pay $4 million in restitution to the federal program, alongside forfeiting four real estate properties and $726,364.96 in ill-gotten gains.

The fraud unfolded over six years, from roughly 2011 to 2017, when Fakih allegedly billed Medicare for high-dollar prescription drugs that never left his shelves—or even arrived there in the first place. Court documents paint a picture of calculated deception: Fakih targeted lucrative reimbursements for medications like blood thinners and inhalers for lung diseases, items his pharmacy lacked the inventory to dispense to a single patient.

"He manipulated everything from inventory logs to cash flows, all to line his own pockets," said Acting U.S. Attorney J. Michael Buckley in a statement following the sentencing. To cover his tracks, Fakih doctored purchase records and funneled fraudulent reimbursements through a web of transfers, ultimately diverting the proceeds for personal enrichment. The total hit to Medicare? A whopping $4 million—funds meant to safeguard vulnerable seniors and the chronically ill.

Fakih's downfall is part of a broader federal crackdown on health care swindles, spotlighting Michigan as a hotbed for such crimes. Just last week, two other pharmacists—brothers Raad and Ramis Kouza—were sentenced to eight and five years, respectively, for a similar $15 million fraud involving undispensed antipsychotics and inhalers billed to Medicare, Medicaid, and Blue Cross Blue Shield of Michigan. And in a twist from the archives, a Venezuelan immigrant was denaturalized last month after concealing a $5.4 million Medicare scam from immigration officials during her citizenship application.

The U.S. Department of Justice's Health Care Fraud Strike Force, a multi-agency juggernaut launched in 2007, has notched over 5,800 convictions nationwide, clawing back more than $30 billion in bogus claims from federal programs and private insurers. "These schemes erode trust in the very systems designed to heal," said HHS-OIG Special Agent in Charge Lamont Pugh, whose team spearheaded the Fakih investigation alongside the FBI and CMS. "We're doubling down to ensure providers put patients first, not profits."

Fakih's pharmacy, once a neighborhood staple in the diverse Dearborn Heights community, now stands as a cautionary tale. Neighbors and local officials expressed outrage but little surprise; Michigan has seen a surge in pharmacy-related fraud cases amid rising drug costs and program pressures. "It's heartbreaking—people rely on these places for life-saving meds," said Dearborn Heights City Council member Sam Baydoun. "This betrayal hits close to home."

As Fakih prepares to report to federal prison, the case underscores the relentless pursuit of justice in an era of escalating health care costs. Medicare, serving 65 million Americans, loses billions annually to fraud, with experts estimating the true figure could top $100 billion. For now, the restitution order offers some solace, but advocates call for stricter oversight to prevent the next prescription for crime.

The sentencing caps a probe that began years ago, with Fakih's guilty plea marking a swift path to accountability. No further appeals have been filed, and officials say the investigation into potential accomplices remains open. In the words of prosecutors: Justice, dispensed one sentence at a time.