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Criminal Investigation | Jan. 10, 2023

Former Co-Owner and Sales Manager of defunct medical testing lab sentenced to prison

DCIS

A resident of Astoria, Oregon was sentenced today in U.S. District Court in Seattle to two years in prison for five federal felonies connected to his scheme to profit from illegal kickbacks in the medical testing industry, announced U.S. Attorney Nick Brown. Richard Reid, 53, was convicted in March 2022, following a six-day jury trial. At today's sentencing hearing, U.S. District Judge John C. Coughenour denied a defense motion to postpone the prison sentence while Reid appeals his conviction.

"Mr. Reid was the architect of a scheme to illegally profit on toxicology tests that were paid for by government insurance," said U.S. Attorney Brown. "The web of referrals and kick-backs led to significant profits for NWPL and its owners. Such illegal kick-backs simply inflate medical costs for the rest of us."