The U.S. Department of Justice has reached a tentative agreement with Chesapeake Regional Medical Center regarding the scandal involving Dr. Javaid Perwaiz. This deferred prosecution agreement avoids a criminal trial for the institution while mandating strict accountability measures.
Under the proposed terms, the hospital must admit to specific facts and retain an independent monitor to verify ongoing compliance with all legal requirements. The deal further requires the medical center to pay restitution to healthcare programs like Medicare and Medicaid. Additionally, the hospital will establish a $12.8 million fund designated for patients whose records confirm they underwent procedures performed by Perwaiz at their facility.
This compensation fund covers the direct costs of medical procedures and associated therapy. However, the agreement specifies that it does not provide payouts for claims related to emotional distress or other similar damages. The hospital was previously charged with healthcare fraud, conspiracy, and interference with government functions in 2025 following a long-standing pattern of misconduct.
Patients impacted by these procedures are encouraged to attend upcoming informational webinars. These sessions are scheduled for Friday, August 21, at noon and Monday, August 24, 2026, at 5 p.m. Official channels will also accept public comments on the tentative agreement until August 26. This development arrives as more than 1,000 women continue to pursue a separate civil lawsuit against the medical center in Chesapeake Circuit Court.