A former manager at Kaiser Permanente in Oakland has been sentenced to 33 months in prison for defrauding the health organization of $1.8 million.
Asim Waqar, 40, also must repay $1.8 million to Kaiser and $142,530 to the U.S. Treasury for unpaid taxes.
Waqar pleaded guilty in August to conspiracy to commit wire fraud and tax evasion.
As an information technology manager at Kaiser Oakland in 2005, Waqar persuaded a college friend, Farid Rahman, 44, and Rahman's wife, Mina Kuhl, 38, to join a scheme to defraud the organization.
Waqar urged Kaiser to hire Kuhl to work from her home in Michigan under Waqar's supervision. He then arranged for her to be paid without doing any work, federal authorities said.
From 2005 to 2008, Waqar authorized payments of $1.8 million to third-party vendors for Kuhl's employment.
Kuhl and Rahman kicked back $428,300 to Waqar, who did not report the income to the Internal Revenue Service or pay $142,300 in taxes on it.
Waqar resigned from Kaiser in 2008.
Rahman and Kuhl pleaded guilty in March. Rahman was sentenced to 18 months in prison and Kuhl to a year and a day. They also were ordered to pay restitution to Kaiser.
Sandy Kleffman covers health. Contact her at 510-293-2478. Follow her at Twitter.com/skleffman.