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HEALTHCARE
NEWS
Pain physician convicted of
falsifying patient medical
records — 6 insights
By Eric Oliver
M
oustafa Moataz Aboshady, MD, was found guilty
of falsifying patient medical information to obtain
illegal payments from Medicare and commercial
insurers, according to the U.S. Attorney's Office for the
District of Massachusetts.
Here's what you should know:
1. Dr. Aboshady was convicted of one count of conspiracy
to make false statements and two counts of making false
statements regarding actions he committed between May
2012 and May 2013.
2. Dr. Aboshady practiced at New England Wellness & Pain
Management, which operated a series of practices in Mas-
sachusetts and Rhode Island under several names.
3. New England Wellness & Pain Management was oper-
ated by Fathallah Mashali, MD. Dr. Mashali pleaded guilty
to 27 counts of healthcare fraud, one count of conspiracy to
commit mail fraud and 16 counts of money laundering. He
faces eight years in prison.
4. Dr. Mashali and Dr. Aboshady both falsified medical re-
cords to receive payments from Medicare and commercial
insurers for unperformed services.
5. Dr. Aboshady also fabricated urine drug test results with
false test dates. Along with partners in Cairo, Egypt, urine
sample test results were fabricated to make the tests ap-
pear days old, instead of either weeks or months old.
6. Dr. Aboshady faces up to five years in prison, three years
of supervised release, $250,000 in fines and restitution. A
federal judge will sentence him at a later date. n
Kaiser Permanente Colorado lays off 200 employees
By Kelly Gooch
K
aiser Permanente Colorado, the state's largest
insurer, laid off about 200 employees in Novem-
ber 2018, after unveiling financial struggles, The
Denver Post reported.
Kaiser spokesperson Amy Whited told the Post that the
layoffs aimed to "address redundancies" in administrative
positions and positions unrelated to direct patient care.
"We are making operational improvements to ensure
we are meeting and exceeding our members' expecta-
tions for quality, service and affordability," she said. "An
important part of this effort is having the right people in
the right jobs to best serve our members."
In October, Kaiser revealed losses of $65 million in the
last three years and blamed them on rising hospital prices
and "unfair business practices." The insurer said it would
review its operations in Colorado after an investigation
by the Post found hospitals in the state increased their
prices by 76 percent over eight years.
A Kaiser spokesperson told the Post the insurer is offer-
ing 60 days of administrative pay, as well as severance, to
those affected by the layoffs.
According to the publication, Kaiser has about 40,000
Medicaid members and more than 8,000 employees in
Colorado. n
10 healthcare
companies likely to be
acquired in 2019
By Alyssa Rege
W
hile the healthcare industry has historically been ripe
for mergers and acquisitions activity, a recent report
by Morgan Stanley analysts published in October and
cited by Business Insider suggests health companies' high valua-
tions and the wealth of readily available funding for biotechs are
limiting the activity within the sector.
e report, obtained by Becker's Hospital Review, identifies 10
healthcare companies Morgan Stanley analysts predict will receive
tender offers within the next 12 months. Analysts used proprietary
quantitative models to issue its predictions. e models relied on
a combination of cohort information and stock-level fundamental
data to forecast acquisition likelihood, among other data.
Here are 10 companies likely to be acquired by the end of next
year along with their market cap estimate, according to Business
Insider:
1. Iqiva — $26.4 billion
2. Biomarin Pharmaceutical — $17.6 billion
3. Seattle Genetics — $12.9 billion
4. DaVita — $12.4 billion
5. Universal Health Services (King of Prussia, Pa.) — $11.7 billion
6. Dexcom — $11.5 billion
7. Neurocrine Biosciences — $10.8 billion
8. Perrigo — $9.8 billion
9. Nektar erapeutics — $9.5 billion
10. Sarepta erapeutics — $9.5 billion n
