Phoenix area doctor sentenced to 4 years for fraudulent schemes

Phoenix, Arizona—A Phoenix doctor will spend 4-years in prison for scamming taxpayers, conspiring with drug dealers, and forging patient medical records. 43-year-old Dr. Edward Jack Sayegh was also ordered to surrender his medical license during his sentencing. Upon his release from prison, Dr. Sayegh will serve 5 years supervised probation.

“Dr. Sayegh betrayed his patients and stole from the taxpayers of Arizona,” said Attorney General Mark Brnovich. “Our Health Care Fraud and Abuse Section has made it a top priority to investigate and prosecutor anyone who commits public fraud.”

In August 2015, Dr. Sayegh plead guilty to Fraudulent Schemes and Artifices, Conspiracy, Forgery, Administration of Narcotic Drugs, and Administration of Dangerous Drugs, for billing AHCCCS for phantom medical services, prescribing pills for drug diversion purposes, and falsification of his patient medical records.

For more than 2-years, the Arizona Attorney General’s Office in partnership with the US Drug Enforcement Administration conducted a large-scale investigation into Dr. Sayegh’s medical practice, Arizona Family Medicine. The investigation uncovered evidence that Dr. Sayegh victimized both taxpayer-funded and private insurance companies through his fraudulent billing practices, which included billing for services never provided and using fraudulent billing codes to increase his reimbursement rates. It was also revealed that Dr. Sayegh actively engaged in a variety of drug diversion schemes, which included requiring certain patients to share their medications with him and prescribing pills to drug dealers for drug trafficking purposes in exchange for cocaine, prostitutes, and expensive alcohol. Moreover, law enforcement learned that Dr. Sayegh routinely forged patient medical records to justify his false billing practices and his illegal prescribing habits.