Illinois Doctor Sentenced To Prison For Health Care Fraud, Tax Evasion

India-West Staff Reporter

LAKE FOREST, IL – An Illinois physician, Dr. Krishnaswami Sriram of Lake Forest, has been sentenced to 34 months in prison after being convicted of health care fraud and for concealing assets and lying to the IRS. The sentencing follows a period during which he evaded payment of approximately $1.6 million in taxes, penalties, and interest.

According to court documents and official statements, Sriram engaged in a years-long scheme to evade federal tax payments. From 2011 to 2017, he took several evasive actions, including transferring the ownership of two rental properties to his children without their knowledge while he continued to receive all income from the properties. He also moved approximately $700,000 from U.S. bank accounts to accounts he controlled in India.

In an attempt to reduce the amount he owed, Sriram submitted documents to the IRS as part of an offer-in-compromise. These documents deliberately omitted key assets, including an investment account in the United States, several bank and investment accounts in India, and his continued ownership of the rental properties. In total, his actions resulted in a tax loss of about $1.6 million to the IRS.

In addition to the tax fraud, Sriram was also found to have committed health care fraud between 2012 and 2022. He submitted false Medicare billings for in-home physician care that was never provided. The false claims were submitted for patients who were either deceased or residing in inpatient facilities, not their homes. Sriram’s false statements in medical records led to $136,980.36 in fraudulent billings to Medicare.

The court has ordered Sriram to serve three years of supervised release following his prison sentence. He is also required to pay approximately $1.7 million in restitution to the United States.