Jail Time For Boonton Man Who Led Multi-Million Dollar Kickback Scheme

MORRISTOWN, NJ — The Boonton head of a medical kickback scheme was sentenced to jail time for his crimes, New Jersey Attorney General Christopher S. Porrino announced on Tuesday.

Rehan “Ray” Zuberi, the former owner of Diagnostic Imaging Affiliates (DIA), who ran a multi-million dollar kickback scheme in Hackensack, was sentenced to eight years in state prison, and must pay $1 million in restitution. The medical company was also banned for life from working with Medicaid and any government health programs.

“Rehan Zuberi was the mastermind behind a criminal enterprise that treated patients like commodities to be bought and sold for profit,” said Attorney General Porrino. “This man made millions by conspiring with doctors to deprive patients of their right to honest services based on sound medical judgment. He will now serve a lengthy prison sentence befitting his leadership role in this appalling corruption of the medical profession.”

Zuberi pled guilty in 2015 to first-degree money laundering and second-degree conspiracy to commit commercial bribery charges. Between 2008 and 2014, Zuberi paid kickbacks to doctors in exchange for referrals to DIA centers for expensive tests. Zuberi and those involved earned millions of dollars through the scheme, Porrino said.

A number of doctors also pled guilty in connection to the scheme, including Dr. Alexander Dimeo from Budd Lake and Dr. Ronald Hayek from Totowa.

Image via New Jersey Attorney General's Office