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Federal Prosecutors Move to Dismiss Two Defendants in Chicago COVID‑Testing Fraud Case

The filings follow a judge’s order for a June 17 evidentiary hearing that could force prosecutors to testify about alleged grand‑jury misconduct.

Overview

  • The government filed an emergency motion on June 11 to dismiss with prejudice the counts against Mahmood Sami Khan and Suhaib Ahmad Chaudhry, a step that bars the charges from being refiled and that both defense lawyers did not oppose.
  • U.S. District Judge Sharon Johnson Coleman had ordered an evidentiary hearing for June 17 that could require witnesses including U.S. Attorney Andrew Boutros to answer questions about how prosecutors handled grand‑jury proceedings.
  • Previously released, largely unredacted grand‑jury transcripts show lawyers saying prosecutors engaged in wrongful conduct such as vouching for witnesses, using inflammatory language about defendants, and improper contacts with jurors.
  • Anosh Ahmed, the former Loretto Hospital CFO and COO who is central to the indictment, remains charged and is fighting a U.S. extradition request from Serbia while the court rejects his bid to join the dismissal granted to the other two defendants.
  • The revelations have prompted internal reviews, delayed trials and raised the prospect of sanctions or policy changes in the U.S. Attorney’s Office as judges assess whether misconduct tainted multiple related prosecutions.