Medicare Fraud Investigation and Arrest in Connecticut

Habib, a business owner and resident of Middletown, has confessed to participating in Medicare fraud totaling nearly $2 million. According to the U.S. Attorney's Office for the District of Connecticut, Habib, a lawful permanent resident from Pakistan, entered a plea agreement in Bridgeport federal court. He admitted to conducting an unauthorized money transmitting operation involving fraudulent activities.

The investigation revealed that Habib founded "Around The World Solutions LLC" in January 2025, based in Connecticut, and soon after, began filing illegitimate Medicare Advantage claims for durable medical equipment. These claims, associated with orthotics and braces that were never requested or delivered, were facilitated by an associate in Pakistan, federal officials reported.

Records highlight that from March to May 2025, his business account received approximately $680,571 from Medicare payments. The funds were associated with fictitious claims affecting 413 beneficiaries across 36 states, though none resided in Connecticut. While some payments were halted upon detection by Medicare Advantage initiatives, the total fraudulent claims filed amassed to around $1.9 million.

Further, Habib transferred $425,000 to Pakistan through 14 wire transactions. The U.S. Attorney's Office stated that neither Habib nor his company had the required money transmitting license from the Connecticut Department of Banking, constituting a felony offense. Habib was arrested on August 24, 2025, shortly before a planned departure to Pakistan. His sentencing is set for September 8 in Hartford, facing up to five years of imprisonment while released on a $50,000 bond.