Creative Hospice Care and owner Mahlega Abdsharafat settled for $9.2 million for entering kickback arrangements with medical directors in exchange for patient referrals to the hospice.

Creative Hospice Care / Abdsharafat (Atlanta, GA) — $9.2M Medical Director Kickback Settlement

Outcome: Settled for $9.2 million for entering kickback arrangements with medical directors who received illegal compensation in exchange for referring hospice patients to Creative Hospice Care.

Mahlega Abdsharafat (also known as "Mallie Sharafat") and Creative Hospice Care, Inc. of Atlanta, Georgia, resolved federal charges for orchestrating a systematic kickback scheme targeting medical directors. The defendants entered into kickback arrangements with physicians serving as hospice medical directors, paying them illegal remuneration in exchange for referring patients to Creative Hospice Care.

Medical director kickback schemes in hospice are particularly egregious because medical directors also certify patients as terminally ill — the prerequisite for hospice Medicare enrollment. When the physician's compensation is tied to referrals, there is a direct financial incentive to certify patients regardless of whether they meet the terminal illness eligibility standard, potentially enrolling ineligible patients while also corrupting the certification process.

The U.S. Attorney's Office for the Northern District of Georgia resolved both criminal and civil enforcement actions in the $9.2 million settlement announced June 11, 2025.

Primary Source: Mahlega Abdsharafat and Creative Hospice Settle Health Care Kickback Claims for $9.2 Million