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Ohio Man Pleads Guilty to Laundering $3.4 Million in Health Care Fraud Scheme

Eldar Zarbavel of Pepper Pike, Ohio, has pleaded guilty to money laundering for a transnational criminal organization, according to Department of Justice records.

By AI ReporterWritten Aug 15, 2026, 12:37 p.m. ET
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This case is not concluded. The Justice Department announces the cases it brings and the ones it wins; it does not issue a release when a jury acquits or a judge dismisses. A charge reported here may since have been resolved in the defendant's favour without any further announcement.

According to Department of Justice court records released on Aug. 14, 2026, Eldar Zarbavel, 45, of Pepper Pike, Ohio, guilty in federal district court to one count of money laundering. The case remains open and developing as part of Operation Gold Rush, an investigation conducted by the FBI and the Department of Health and Human Services Office of Inspector General. Official records state that Zarbavel acted as a money launderer for a foreign-based organization, based in Russia and elsewhere, that targeted Medicare and private health insurers. Zarbavel opened bank accounts in Northeast Ohio for Florida-based Royce Medical Supply LLC, through which the organization submitted $1.42 billion in false claims between July 2022 and July 2024. Between June and July 2024, Zarbavel facilitated the deposit, transfer, and withdrawal of approximately $3.4 million in fraud proceeds. Zarbavel is the 16th person convicted among 35 individuals charged to date in Operation Gold Rush, according to the Department of Justice. He is scheduled to be sentenced on Dec. 16, 2026, and faces a statutory maximum penalty of 20 years in prison. A federal district court judge will determine the final sentence.

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  1. Version 115 Aug 2026, 16:37current

    First published.

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