LOS ANGELES — A Burbank man has pleaded guilty to orchestrating a multi-million-dollar Medicare fraud tax evasion and evading over $11.2 million in federal taxes, according to the U.S. Department of Justice.

Armen Muradyan, 60, admitted to conspiracy to commit health care fraud, wire fraud, and tax evasion. He used a longtime friend as a front to illegally collect Medicare reimbursements through his blood-testing company, Genex Laboratories Inc., which had been barred from submitting claims.

Muradyan paid the friend $2,000 monthly to pose as Genex’s owner, allowing him to funnel millions in reimbursements into bank accounts he secretly controlled. These funds supported Muradyan’s personal lifestyle and real estate holdings.

From 2015 to 2020, Muradyan manipulated tax filings to conceal Genex’s profits, reporting minimal income while personally receiving millions. He failed to file any tax returns from 2021 to 2023. The IRS estimates his unreported income at nearly $24 million, with over $11 million in taxes owed.

In a separate scheme, Muradyan fraudulently secured a $99,900 COVID-19 Economic Injury Disaster Loan by falsely claiming GenMed employed staff and earned $800,000 in 2019. In reality, the company had no employees and zero revenue.

Muradyan faces up to 35 years in federal prison at his sentencing on December 11. He remains free on a $2.6 million bond.

The case was investigated by the IRS Criminal Investigation Division, FBI, and HHS Office of Inspector General. Prosecutors include Assistant U.S. Attorney Mark Aveis and DOJ Trial Attorney Mahana K. Weidler.

To report COVID-19 fraud, contact the DOJ’s National Center for Disaster Fraud at (866) 720-5721 or submit a complaint online.