January 26, 2017
Contact: Special Agent Cheryl Davis
Phone Number: (313) 234-4000
Longtime Louisville Physician Convicted: Unlawful Distribution Of Controlled Substances
George Kudmani also convicted of health care fraud: faces $13 million fine, potentially 30 years in prison
LOUISVILLE, Ky. - United States Attorney John E. Kuhn, Jr., and Timothy J. Plancon, Special Agent in Charge of the U.S. Drug Enforcement Administration’s Detroit Field Division, announced today that George Kudmani, a Louisville physician, was convicted in U.S. District Court on multiple counts including unlawful distribution of controlled substances and health care fraud.
Following a seven-day trial, the jury deliberated approximately nine hours before finding the former physician, Kudmani, 71 years of age, guilty on 26 of 29 charges. Sentencing is scheduled before Chief Judge Joseph H. McKinley Jr. on June 6, 2017, in the Western District of Kentucky.
The jury found Kudmani guilty of unlawfully distributing and dispensing controlled substances, not for a legitimate medical purpose, and beyond the bounds of a professional medical practice, between July 2009 and September 2012. The controlled substances prescribed were oxycodone and hydrocodone, both Schedule II controlled substances.
Further, Kudmani was convicted of committing health care fraud for falsely and fraudulently billing Kentucky Medicaid by submitting claims for medically unnecessary Transvaginal (TVS), and for TVSs not performed, between January 2009 and September 2012.
“The criminal actions of George Kudmani contributed to untold suffering and hardships for patients and their families in his care,” stated U.S. Attorney John Kuhn. “A physician takes an oath to do no harm, yet in this case Dr. Kudmani recklessly prescribed drugs to those suffering from opioid use disorders with no legitimate medical purpose. We thank the DEA, Louisville Metro Police Department, the Medicaid Fraud Control Unit of the Kentucky Attorney General’s Office and the FBI for the persistence and hard work that led to today’s conviction.”
Kudmani operated an obstetrician/gynecological medical practice located at 9702 Stonestreet Road, in Louisville, Kentucky, from December of 1980 until 2012. The practice did not employ any other individual with medical training. A typical first-time patient would pay $75 for a gynecological exam, and each visit thereafter, the patient would typically pay $35 in cash and receive a Schedule II-V controlled substance prescription without a physical examination. Patients testified to paying cash and being prescribed controlled substances for multiple years.
Kudmani faces a maximum potential penalty of no more than 30 years in prison, a fine of $13,750,000, and a 3-year period of supervised release.
This case is being prosecuted by Assistant United States Attorneys Joseph Ansari and Lettricea Jefferson-Webb, and was investigated by the United States Drug Enforcement Administration, Federal Bureau of Investigation, Kentucky Medical Fraud Control Unit and Louisville Metro Police Department.