The owner of an Oregon clinical laboratory allegedly submitted tens of millions in fraudulent claims to Medicare Advantage plans for laboratory testing services that were never ordered or performed.

The owner of Oregon Clinical Laboratory in Klamath Falls, Ore, has been charged with healthcare fraud after allegedly submitting more than $46 million in fraudulent claims to Medicare Advantage plans for laboratory testing services that were never ordered or carried out, according to the US Attorney’s Office, District of Oregon.

Jahangeer Ali, 34, a citizen of Pakistan residing in Southern California, made his first appearance on February 27, 2026, in the Central District of California. Following a detention hearing on March 4, 2026, Ali was ordered detained pending further court proceedings.

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According to court documents, between June 2025 and January 2026, Oregon Clinical Laboratory submitted the fraudulent claims to Medicare Advantage plans. No providers ordered the testing services, and none of the Medicare Advantage beneficiaries named in the claims actually received testing services from the laboratory. As a result, Medicare Advantage plans paid out more than $28 million on the fraudulent claims before the scheme was uncovered.

Ali was arrested on February 26, 2026, at Los Angeles International Airport as he was preparing to board a flight to Turkey, with an ultimate destination of Pakistan.

A subsequent detention hearing was held in the District of Oregon, where Ali was again ordered to remain in custody pending further court proceedings.

The US Department of Health and Human Services, Office of Inspector General, and the Federal Bureau of Investigation are jointly investigating the case. Assistant US Attorney Andrew T. Ho is prosecuting the matter in the District of Oregon.

A criminal complaint is only an accusation of a crime, and the defendant is presumed innocent unless and until proven guilty.

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