The US Justice Department said one of its citizens, a resident of Virginia has pleaded guilty to money laundering from the Kuwaiti health office in Washington that happened nearly 9 years ago.
The case dates back to 2014, and Egypt had extradited the (naturalized) accused to the United States in December 2021, after going underground for nearly 7 years, reports Al-Rai daily.
According to documents that have been submitted to the federal court, from January to September 2014, the accused conspired to launder money embezzled from the Kuwaiti embassy, as he with others robbed funds intended to pay the costs of Kuwaiti citizens on scholarship abroad for treatment in hospitals including Johns Hopkins Hospital and Medstar Georgetown University Hospital.
The documents stated that the accused and his co-conspirators set up fake companies with names aimed at imitating actual health care providers in the United States and then submitted false invoices to the health office claiming that they provided medical services to Kuwaitis under the auspices of those fake companies.
The sources noted that in the course of the plot, the health bureau had paid more than $1.5 million to settle fraudulent bills. The defendant personally deposited hundreds of thousands of dollars in stolen funds into accounts he controlled and used the funds to make numerous personal purchases.
According to the US Department of Justice website, after the accused pleaded guilty to money laundering, he is scheduled to be sentenced on August 24, and faces a maximum penalty that could reach 20 years behind bars.
The accused had fled the United States in 2014 after learning of the fraudulent bills and checks being exposed, but in 2016, two former employees of the health office admitted conspiring with him and others to launder money that they fraudulently embezzled.