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New York medical professor from Pennsylvania charged with millions in subsidy fraud

In prison. TFP file photo

In an indictment released by federal authorities on Friday, a tenured medical professor is accused of defrauding the National Institutes of Health (NIH) of millions of dollars in research funding.

Hoau-Yan Wang, 67, of Pennsylvania, is accused of falsifying and fabricating scientific data in grant applications submitted to the NIH on his own behalf and on behalf of a publicly traded Texas biopharmaceutical company. The fraudulent applications requested funds for research into a potential treatment and diagnostic test for Alzheimer's disease.

Prosecutors allege the scheme lasted from May 2015 to April 2023 and awarded about $16 million in grants between 2017 and 2021. Some of those funds are said to have financed Wang's laboratory research and his salary.

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The indictment details how Wang allegedly manipulated data to make the proposed treatment and diagnostic test appear more promising than they actually were. These fabrications likely influenced the NIH's decision to award funding.

Wang faces four charges:

  • One count of aggravated fraud against the United States
  • Two cases of transfer fraud
  • A case of false information

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If convicted, he could face severe penalties, including up to ten years in prison for the aggravated fraud charge and possibly an even longer prison sentence for the wire fraud charge.

The case highlights the importance of research integrity and the potential consequences for those who abuse the funding system. The Justice Department often pursues such cases to protect taxpayer dollars and ensure that the scientific community receives accurate data.

This incident is also a blow to public trust in scientific research. Publicly funded research is critical to medical advances, and such alleged misconduct can prevent future funding and collaborations.

Further details regarding the biopharmaceutical company's involvement and the potential legal consequences that could arise for the company are expected to emerge as the proceedings progress.

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Anna Harden

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