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Liberation Way Owner Sentenced in Insurance Fraud Scheme Case

June 15, 2020

The office of Pennsylvania Attorney General Josh Shapiro announced last week that Muhammad Hadi, owner and operator of Liberation Way, has been sentenced to up to 23 months in prison, a concurrent five years of probation, and $500,000 in restitution for his role in an insurance fraud scheme.

Hadi and 10 additional defendants were accused of running a scheme in which the company “illegally secured and paid premiums for patients’ policies so it could bill insurance companies for substandard, medically unnecessary, or sometimes non-existent treatment.” Fraudulent patient info was used to qualify patients for “platinum” coverage, paving the way for Liberation Way to receive maximum reimbursement.

Four other defendants were previously sentenced—three in a federal court, and one in a state court. The remaining defendants await sentencing.

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