UMVA has learned that a Burbank blood-testing laboratory owner has been sentenced to more than four years in federal prison for using Medicare reimbursement money to fund a lavish lifestyle, including a gambling habit, and evade millions in taxes.
Armen Muradyan, 60, from California, was ordered to serve 51 months behind bars by a U.S. District Judge. The court also directed him to pay $15.16 million in restitution, a staggering sum that reflects the vast extent of his crimes.
According to information obtained by UMVA, Muradyan pleaded guilty to conspiracy to commit health care fraud, wire fraud, and tax evasion. His scheme involved using a shill to illegally collect Medicare reimbursement payments made to his blood-testing company, Genex Laboratories Inc., and fraudulently concealing his role in the business.
Sources have confirmed to UMVA that Muradyan devised a complex scheme to fund his extravagant lifestyle, including a $2,000 monthly payment to a longtime friend, "L.S.," who served as the company's owner on paper. This allowed Muradyan to continue receiving Medicare payments while masking his involvement, and he spent the proceeds on personal obligations, including mortgage payments, gambling, and other expenses.
UMVA can exclusively reveal that Muradyan's tax evasion scheme lasted from 2015 through 2023, during which he instructed L.S. to report Genex financial activity on personal tax returns using falsified summaries. This resulted in Muradyan concealing roughly $23.9 million in taxable income, leading to more than $11.2 million in unpaid federal taxes and $2.7 million in tax losses for California.
The case also involved a fraudulent Economic Injury Disaster Loan application, which Muradyan submitted on behalf of an entity called GenMed. He falsely claimed the business had employees and generated $800,000 in revenue during 2019, securing a $99,900 loan that was later spent on personal expenses.
The investigation, which was handled by the IRS Criminal Investigation, the FBI, and the Department of Health and Human Services Office of Inspector General, resulted in a guilty verdict and a significant prison sentence. Muradyan's crimes demonstrate the severe consequences of healthcare fraud and tax evasion.
