Ex-Outcome Health execs sentenced for overbilled ad revenue, misleading auditor
By 
Adrianne Appel2024-07-02T20:35:00
Three former executives of Chicago-based Outcome Health (OH), a healthcare technology company, were sentenced for misleading an auditor, clients, lenders, and investors about a scheme to sell $45 million in overbilled advertisements.
Rishi Shah, OH’s former chief executive, and Brad Purdy, its former chief financial officer, will serve seven and half years and two years and three months, respectively, in prison, the Department of Justice (DOJ) announced Monday in a press release. Shradha Agarwal, OH’s former president, will serve three years in a half-way house.
Starting in 2006, Context Media which later changed its name to Outcome Health, installed televisions and tablets in doctor’s offices nationwide and sold advertising on the screens to drug companies and other businesses, the DOJ said.
THIS IS MEMBERS-ONLY CONTENT
You are not logged in and do not have access to members-only content.
If you are already a registered user or a member, SIGN IN now.
Related articles
-
News BriefFormer CEO of AI recruiter Joonko charged with $27M fraud
The former chief executive officer of closed AI recruitment startup Joonko faces up to 40 years in prison and the potential of penalties levied by the Securities and Exchange Commission for allegedly defrauding investors of more than $27 million.
-
OpinionBinance CEO got 4 months in prison. FTX’s got 25 years. Was compliance the difference?
Why the wild disparity in the sentences of Binance’s Changpeng Zhao and FTX’s Sam Bankman-Fried? Aaron Nicodemus argues the performance of the compliance teams at the two cryptocurrency exchanges was as big a contrast as the penalties earned by their respective founders.
-
News BriefEx-Stericycle finance director charged for bribery scheme role
A former finance director at medical waste disposal company Stericycle faces Department of Justice charges for his alleged role in a bribery scheme that led the company to an $84 million settlement regarding violations of the Foreign Corrupt Practices Act.
More from Regulatory Enforcement
-
ArticleCMA holds companies responsible for false claims, fake reviews ‘throughout supply chain’
Companies face large fines if they spread false marketing claims or fake reviews about their products and services—as well as those by suppliers—under a toughened competition regime in the U.K. aimed at enhancing consumer protection.
-
ArticleFTC warns VISA and other processors that company policies may lead to debanking
Visa, Mastercard, PayPal, and Stripe have received letters from the Federal Trade Commission, warning the companies to end any policies or terms of service that may result in the “debanking” of customers.
-
ArticleDOJ makes good on corporate-friendly enforcement policy with Balt resolution
The ink was barely dry on the U.S. Department of Justice’s new corporate enforcement policy (CEP) when the agency announced it would not prosecute Balt SAS for alleged bribery violations.