Klamath Falls Lab Owner Detained After Allegedly Billing 46 Million Dollars for Tests Never Performed
KLAMATH FALLS, Ore. — The owner of Oregon Clinical Laboratory in Klamath Falls, who allegedly fraudulently billed Medicare Advantage insurance plans for more than $46 million for tests never performed, is in detention pending further court proceedings.
He has been charged with healthcare fraud.
According to court documents, the 34-year-old Pakistani, Jahangeer Ali, was arrested at the Los Angeles International Airport on February 26, 2026, before boarding a flight to Pakistan via Turkey.
The Accused Received More than $28 Million in Fraudulent Medicare Advantage Insurance Plan Claims
Ali submitted the fraudulent claims amounting to more than $46 million from June 2025 to January 2026, for which he received over $28 million.
Court documents state that no providers had ordered testing services via Ali’s Klamath Falls laboratory, nor did any beneficiaries named on the claims receive any payments.
According to the Oregon U.S. District Attorney’s Office, Ali first appeared in court in the Central District of California the day after his arrest, on February 27, 2026.
A detention hearing was held on March 4, at which he was ordered detained pending further court proceedings.
- June 2025 to Jan. 2026 : Lab allegedly bills more than $46 million.
- Feb. 26, 2026 : Ali arrested at LAX before flight to Turkey en route to Pakistan.
- Feb. 27, 2026 : First court appearance in Central District of California.
- Mar. 4, 2026 : Judge orders detention pending further proceedings.
- Mar. 24, 2026 : Oregon U.S. Attorney announces charge.
The case is under investigation by the FBI, the U.S. Department of Health and Human Services, and the Office of the Inspector General.