Seattle court sentences former medical testing executive for failing to report to prison

The former co-owner of a now-closed medical testing company was sentenced to an additional six months in prison for failing to report as directed, according to the Department of Justice.

Richard Reid, 55, was initially sentenced to two years in prison in January 2023 for his involvement in a scheme to profit from illegal kickbacks in the medical testing industry.

U.S. District Judge John C. Coughenour presided over the sentencing in Seattle, expressing astonishment at Reid’s continued lack of accountability.

“Reid’s persistent failure to accept responsibility takes my breath away,” the judge stated.

Reid, who previously claimed to have COVID-19 and long COVID to delay his prison term, was ordered to report by the end of April 2023.

Instead, he left his home in Astoria, Oregon, and went on the run. The FBI subsequently issued a “Wanted” poster for his arrest.

He was captured on May 7, 2023, in Taylorsville, Oregon, after a member of the public reported seeing him.

Reid was arrested at a bar following a multi-day search by law enforcement.

Assistant U.S. Attorney Mike Dion argued for an additional ten-month sentence, highlighting Reid’s refusal to take responsibility for his actions and the wasted resources in apprehending him.

Reid had been involved in a kickback scheme with Bellevue-based Northwest Physicians Laboratory, helping the company secure over $3.7 million by directing urine drug test specimens to certain labs for government billing.

The case was investigated by the FBI, the Health and Human Services Office of Inspector General, and the Defense Criminal Investigative Service.

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