In a shocking development, a US-based Nigerian CEO, Cashmir Chinedu Luke, was arrested at San Francisco International Airport while allegedly attempting to board a flight to Nigeria. The arrest follows accusations of defrauding the U.S. Department of Veterans Affairs (VA) of over $7 million through fraudulent healthcare claims.
Allegations Against the CEO
According to U.S. authorities, Luke, the sole owner of Four Corners Health LLC, submitted approximately 10,000 false claims over nearly five years. These claims included billing for services not rendered, duplicate services, and even care allegedly provided to deceased veterans. The fraudulent activities reportedly enriched the CEO, who controlled all company accounts.
Federal prosecutors have emphasized that these are allegations and that Luke is presumed innocent until proven guilty in court. However, if convicted, the CEO faces up to 10 years in prison and fines totaling $250,000.
Implications for Nigerians Abroad
This arrest serves as a stark reminder of the legal risks that even highly placed Nigerian CEOs face when conducting international business. The fact that Luke attempted to flee the U.S. to Nigeria highlights the global reach of U.S. federal law enforcement agencies.
For Nigerian business leaders and CEOs in the diaspora, the case underscores the importance of transparency and compliance with international regulations, especially in industries handling government funds.
What Comes Next?
The U.S. Attorney’s Office for the Eastern District of California is leading the investigation. Legal proceedings are expected to continue over the coming months, keeping the CEO at the center of one of the most high-profile Nigerian diaspora fraud cases in recent years.
