Indian-origin Neurosurgeon Fined $2 MM for Fraud involving Fake Surgeries

HOUSTON: A 53-year-old Sugar Land surgeon has agreed to pay $2,095,946 to resolve allegations he submitted false claims for the placement of electro-acupuncture devices, announced U.S. Attorney Alamdar S. Hamdani.

Dr. Rajesh Bindal used the entity Texas Spine & Neurosurgery Center P.A. to conduct his medical practice. From March 16, 2021, to April 22, 2022, Bindal billed Medicare and the Federal Employees Health Benefits Program (FEHBP) for the surgical implantation of neurostimulator electrodes.

These are invasive procedures usually requiring use of an operating room. As a result, Medicare and the FEHBP pay thousands of dollars per procedure. However, neither Bindal nor his staff performed these surgical procedures, according to the allegations. Instead, patients allegedly received devices used for electroacupuncture, which only involved inserting monofilament wire a few millimeters into patients’ ears and taping the device behind the ear with an adhesive. In some instances, a device sales representative or a physician assistant allegedly performed these placements, which were then billed as surgeries. All device placements took place in Bindal’s clinic, not a hospital or surgical center, and no incision was made on a patient. Most patients claimed the adhesive came loose and the device fell off on its own accord within a few days.

A neurosurgeon, like Bindal, should know when he is and is not performing surgery,” said Hamdani. “Even though neurosurgeons, according to one study, are the highest paid physician specialists in the United States, Bindal allegedly submitted false claims in an effort to further enrich himself. To maintain the trust of the public in our federal health care system, it is imperative that medical professionals, such as neurosurgeons, bill accurately for the services provided. Otherwise, my office may get involved and seek to hold accountable anyone who violates that trust.”

“Ensuring that health care professionals are held accountable for submitting false claims to Medicare is essential for preserving public trust and safeguarding critical resources,” said Special Agent in Charge Jason E. Meadows of the Department of Health and Human Services – Office of Inspector General (DHHS-OIG). “Dr. Bindal not only submitted false claims to Medicare but also deceived our most vulnerable population. DHHS-OIG and our law enforcement partners remain committed to working together to uphold the integrity of federal health care
programs.”

“False claims come at a cost not only to our federal health care programs but also to the members who rely on these
programs for necessary care,” said Special Agent in Charge Derek M. Holt of the Office of Personnel Management (OPM-OIG.) “We support the efforts of our law enforcement partners and colleagues to protect not only the integrity of federal health care programs but also the safety of federal employees, annuitants and their families.”

The U.S. Attorney’s Office conducted the investigation with DHHS-OIG and OPM-OIG. Assistant U.S. Attorney Laura Collins handled the matter.

Alamdar Hamdani is the 24th United States Attorney (USA) for the Southern District of Texas. Nominated by President Biden in October 2022 and confirmed by the United States Senate in December 2022, Hamdani is the chief federal law enforcement officer for the Southern District of Texas (SDTX). The district was established in 1902 and encompasses seven divisions with federal district courts in Houston, Galveston, Victoria, Corpus Christi, Brownsville, McAllen and Laredo.

As USA, Hamdani supervises the investigation and prosecution of all federal crimes and the litigation of all civil matters in which the United States has an interest. Hamdani joined the SDTX in 2014, but has been with the Department of Justice since 2008. As an AUSA with the SDTX, he was primarily responsible for the investigation and prosecution of national security and official corruption crimes. From 2010 to 2014, Hamdani served in the
Counterterrorism Section of the Department of Justice’s National Security Division, holding the position of deputy chief from 2012 to 2014. Prior to that, he was an AUSA in the Eastern District of Kentucky.

Prior to his government service, Hamdani was a partner at the law firm of Hamdani & Simon LLP in Texas from 2005 to 2008 where he litigated corporate disputes and civil rights matters. In 2003, he helped form the South Asian Bar Association of North America, holding various leadership positions in the organization, including president from 2007 to 2008. From 2001 to 2005, Hamdani was an associate attorney in the Houston office of the law firm Winstead P.C.

During his tenure as an AUSA with the SDTX, Hamdani was also an adjunct professor at the University
of Houston Law Center. Hamdani received his J.D. from the University of Houston Law Center in 1999 and his B.B.A. from the University of Texas at Austin in 1993.