Stamford Physician Settles COVID Fraud Allegations

A Stamford medical practice has agreed to pay $866,539 to resolve claims of fraudulent billing to federal programs.

Updated on Oct. 16, 2026 in COVID-19

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Physician Steven Murphy and his Stamford-based medical practice agreed to a $866,539 settlement regarding allegations of COVID-19 health care fraud. AI Illustration. Upload story photo >

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Stamford physician Steven Murphy and his medical practices have reached an $866,539 settlement to resolve allegations of COVID-19 and health care fraud. The government claimed the practices billed for fraudulent services and manipulated insurance records to receive improper reimbursements.

Why it matters

The settlement addresses allegations that the provider submitted false claims to the Health Resources Services Administration, Medicare, and Medicaid. By manipulating patient records, the practices allegedly sought payments for services that were either never performed or already covered by private insurance.

Steven Murphy agreed to a three-year exclusion from all federal health care programs as part of the $866,539 settlement. The practices were cited for billing Medicare and Medicaid for blood tests that were never performed.

The players

Steven Murphy

Steven Murphy is a physician based in Stamford who operated medical practices involved in the billing fraud settlement.

The details

The physician allegedly altered electronic medical records to label insured patients as uninsured under the Covid19 HRSA Uninsured program to secure federal funds. Additionally, the practices submitted bills for individual blood tests within panels that could not be completed because the necessary reagents were unavailable.

Timeline

  1. The fraudulent claims period spanned from September 2019 through April 2022.

  2. The medical practices face a three-year exclusion from federal health care programs.

Health Landscape

The settlement follows the enforcement patterns of the False Claims Act, which targets entities that submit false information to federal programs for financial gain. This action aligns with broader federal efforts to audit and recover funds lost to improper billing during the pandemic response.

Patients who visited these practices may need to review their past health insurance statements to ensure their records accurately reflect their insurance coverage. The three-year federal exclusion means residents will need to seek alternative providers for services previously covered by federal health programs at these locations.

The takeaway

This case highlights the importance of maintaining accurate insurance identifiers in electronic medical record systems to prevent billing discrepancies. Patients should remain vigilant by regularly auditing their insurance explanation of benefits to detect potential errors or unauthorized charges.

Further reading

Learn more about local public health oversight in the COVID-19 section.

Live Poll

Do you trust that healthcare providers are held sufficiently accountable for fraudulent billing practices?