Indian-origin Illinois doctor Krishnaswami Sriram has been sentenced to 34 months in prison for medical fraud and tax evasion. According to the Justice Department, he hid his assets and lied to the IRS about his ability to pay $1.6 million in taxes, penalties and interest. From 2011 to 2017, Sriram evaded payment of approximately $1.6 million he owed to the IRS. Among other evasive steps, Sriram transferred ownership, in name only, of two rental properties to his children without their knowledge while he continued to receive income from the properties. He also transferred approximately $700,000 from bank accounts he controlled in the United States to accounts in India. To fraudulently reduce the money he owed, Sriram submitted documents to the IRS as part of an offer-in-compromise that omitted an investment account in the United States, bank and investment accounts in India, and ownership of the rental properties. In total, Sriram caused a tax loss to the IRS of approximately $1.6 million.His medical fraud took place between 2011 and 2022, when he made false Medicare billings to be submitted for in-home physician care that did not take place. Sriram claimed to provide care for Medicare beneficiaries on dates when those individuals were either deceased or resided at inpatient facilities other than their homes. Sriram’s false statements in medical records relating to these episodes of care resulted in $136,980.36 in false billings to Medicare.In addition to his prison sentence, the court ordered Sriram to serve three years of supervised release and to pay approximately $1.7 million in restitution to the United States.In March this year, he pleaded guilty to tax evasion and admitted false billion to Medicare.
