Psychiatrist Sekilar Sabaratnam loses license following fraud-related scheme

April 29, 2011

On February 8, 2011, the Medical Board of California issued a Notice of Automatic Suspension of License on Los Angeles psychiatrist Sekilar Sabaratnam (aka Rudra Sabaratnam), based on a criminal conviction related to the deliver of health care services. 

On August 30, 2010, Sabaratnam pleaded guilty to the charge of Payment of Kickbacks for Patient Referrals, Causing and Act to be Done and was sentenced to 24 months in federal prison. 

According to a press release issued by the United States Attorney’s Office for the Central District of California, Sabaratnam, who was the Chief Executive Officer of City of Angels Medical Center, admitted to paying kickbacks as part of a scheme to defraud Medicare and Medi-Cal (the California state Medicaid program) by recruiting homeless persons to receive unnecessary health services, paying out nearly $500,000 in illegal kickbacks. 

As part of his sentence, he was required to make restitution of $4.1 million to the Medicare and Medi-Cal programs.

Source: "Former hospital C.E.O. pleads guilty to paying kickbacks in 'skid row' healthcare fraud scheme," press release of the U.S. Attorney's Office for the Central District of California, December 12, 2008.