Opinion ID: 777287
Heading Depth: 2
Heading Rank: 2

Heading: Investigations and proceedings involving Plaintiffs

Text: 26 When the four Plaintiffs filed these actions, they were Medi-Cal providers. Khachik Simonyan was the owner of Eagle Medical Supply (Eagle), and Oganes Nagapetyan owned Nairi Pharmacy (Nairi). Both Eagle and Nairi provided medical supplies and equipment to Medi-Cal recipients. San Lazaro provided laboratory tests for Medi-Cal recipients. Clinical Care Laboratory, Inc. (Clinical Care) provided clinical laboratory services to Medi-Cal recipients. 27 In 1998, the Controller audited all four Plaintiffs. In addition, the FBI, in coordination with the Controller, initiated an investigation of Eagle and Nairi. The investigations disclosed evidence of possible fraud. The Controller and the FBI reported their findings to DHS and either requested or recommended that DHS temporarily withhold payments to all Plaintiffs. 2 DHS ultimately withheld payments to all four Plaintiffs.