Federal Investigators in Medicaid Fraud Case Escape Liability

The owner of a Maryland pharmacy chain who sued the federal agents he accused of falsifying evidence during their investigation of possible Medicaid fraud by his business lost his appeal at the Fourth Circuit on Monday.

The charges against Reddy Vijay Annappareddy were dismissed after a federal district court found that the government used flawed analyses of his pharmacies’ inventory and billing to obtain his conviction.

Annappareddy, whose business was permanently closed by the investigation, sued the investigators and prosecutors involved in his case, including FBI agent Maura Lating and special agent Robert Mosely of the Department of Health and ...