The FBI investigation surrounds unapproved medicine at a US cancer clinic
Businessman Dr Sukhi Ghuman said no patients were misled or harmed by his US clinics(Image: Dan Matthams)
A Nottinghamshire businessman caught up in an FBI investigation over a Californian cancer clinic has been handed a UK court judgement that could be worth more than £5 million as he ‘rebuilds his life’.
Sukhi Ghuman and his wife both faced extradition to the United States at one point of the proceedings and spent time in a UK prison as a result, but both were released in days after bail was granted.
The ongoing legal proceedings surround the use of unapproved medicine at a clinic that Mr Ghuman managed through his Colton Heath firm.
The 48-year-old, who is from Newark and founded Bingham-based security firm Octavian Group, has been accused by prosecutors in America of giving patients unregulated versions of lung and pancreatic cancer drugs.
Yet Mr Ghuman claims he was never responsible for any medical decisions at the clinic and the doctor who previously owned it could now face paying Mr Ghuman more than £5 million in damages.
An order handed down by District Judge Dickinson at the High Court in Birmingham means Dr Kousay Al-Kourainy faces paying damages of £5,076,187 – though the exact amount is to be determined and the doctor has launched an appeal.
The court judgement was handed down as a default judgement, which is made when a defendant has not filed an acknowledgement of court service or any defence.
Mr Ghuman said: “I am not a doctor. I have never prescribed anything in my life. All medical decisions were made by the clinician in charge.
“That is how the system works. I trusted a qualified professional to do his job and relied on that duty of care. I was told time and time again that all medications had FDA approval.”
The US proceedings surround the South Bay Cancer Centre, which was owned and operated by Dr Al-Kourainy and which Mr Ghuman invested in after moving to the US in 2013.
Mr Ghuman’s statement as part of the High Court proceedings says he entered into a 2018 agreement with Dr Al-Kourainy, under which control of the medical practice would transfer to Mr Ghuman once the doctor had achieved £8.5 million in net profit.
The court statement says Colton Heath was incorporated to manage all non-medical aspects of the practice and an agreement signed by both Mr Ghuman and Dr Al-Kourainy, submitted to the court, says: “Practice shall be solely and exclusively in control of all aspects of the practice of medicine and the provision of medical services.
“Manager shall not provide or otherwise engage in services or activities which constitute the practice of medicine as defined by the laws of the State of California. Under no circumstances shall medical services be made available to or for Practice by Manager.”
Dr Al-Kourainy retired in 2020 and passed control of the medical side of the practice to another doctor.
The FBI then opened an investigation in April 2023, with prosecutors alleging the practice sourced cheaper, unapproved drugs from India, Sri Lanka, and Turkey to maximise the profits from payments made by the country and California’s public health insurance programmes.
Mr Ghuman says no patients were ever actually harmed, but prosecutors say patients were unaware they were being injected with drugs not approved by the US.
The Nottinghamshire businessman met with Dr Al-Kourainy in December 2023 and his court statement says Dr Al-Kourainy agreed to pay millions of dollars in legal costs and to compensate for the loss of Mr Ghuman’s Arizona property – which was seized by US authorities.
The agreement was reportedly reached so amicably that the pair shared lunch together afterwards, but Mr Ghuman says he was only ever paid $15,000 by Dr Al-Kourainy despite repeated chasing – prompting the High Court action.
Although the High Court judgement has led to Mr Ghuman being awarded damages, the US proceedings remain active and the next hearing as part of those is due to take place in a UK court in September, though Mr Ghuman says discussions on that remain ongoing.
Mr Ghuman said: “At its heart, this is about accountability. The doctor had control of the clinic, he made the medical decisions, and he received the money. Yet I am the one who has had to fight to clear my name.
“I have rebuilt my life on purpose. I made a decision that I would not let false accusations define me. But rebuilding your life does not mean forgetting the truth or walking away from justice. It means standing up, fighting back and making sure the facts come out.”
