The United States said on Thursday it had indicted two Pakistanis for their alleged involvement in a $10 million healthcare fraud scheme by billing medicare and private insurers for service which was nonexistent.

The US Department of Justice’s Office of Public Affairs said in a press release that according to an indictment returned in Chicago’s federal court, Burhan Mirza and Kashif Iqbal submitted fraudulent claims to nominee-owned laboratories and medical equipment.

It added that according to their indictment, the billing claimed was submitted to medicare and private health care benefits programmes for services that were not provided.

The press release said Mirza obtained information of US individuals, providers and insurers without their knowledge. He used the information to support bogus claims while residing in Pakistan.

Iqbal, 48 is also from Pakistan and resided in Lavon, Texas. He was allegedly associated with a number of durable medical equipment providers that submitted fraudulent claims for insurers. The press release said he was also involved in transfer of money with other co-schemers.

“Rooting out fraud is a priority for this Justice Department, and these defendants allegedly billed millions of dollars from Medicare and laundered the proceeds to Pakistan,” said Deputy Attorney General Todd Blanche.

“These alleged criminals stole from a programme designed to provide health care benefits to American seniors and the disabled, not line the pockets of foreign fraudsters. We will not tolerate these schemes that divert taxpayer dollars to criminals,” said the press release.

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“Every fraudulent submission in this case was a hand in the pocket of a senior citizen or disabled person who relies on Medicare to fund critically important care,” said US Attorney Andrew S Boutros for the Northern District of Illinois.

The US attorney added that the scammers did not just steal from the government programme but deprived taxpayers from health facilities, particularly older citizens.

The court charged Mirza with 12 counts of health care fraud, five counts of money laundering, while Iqbal was charged with 12 counts of heath care fraud and six of money laundering. He also had one count of making false statement to US law officers.

The press release said Mir Akbar Khan of West Chicago, Faisiur Rahman from India and Navaid Rasheed, a Pakistani residing in Texas, were also involved in the fraud as co-schemers and awaiting sentencing after previously being indicted.

“An indictment merely contains accusations. All defendants are presumed innocent until proven guilty beyond a reasonable doubt in a court of law,” it concluded.