A Florida man pleaded guilty to his role in a scheme to defraud Medicare of $39.5 million.
Christopher Spellman, 22, of Port Richey, and his co-conspirators owned and operated a durable medical equipment company, according to an Aug. 15 Justice Department news release. The company owned a network of DME supplier businesses throughout the country. Mr. Spellman and the others concealed their ownership interest in the suppliers by using nominee owners.
Mr. Spellman and his co-conspirators paid kickbacks and bribes for signed physicians' orders prescribing orthotic braces that were not medically necessary, according to the release.
Of the $39.5 million in fraudulent claims submitted, Medicare paid at least $23 million to the DME suppliers secretly owned by Spellman and his conspirators, according to the release.
Mr. Spellman pleaded guilty to one count of conspiracy to commit health care fraud. He is scheduled to be sentenced Nov. 21.