Healthcare CEO Gets 15 Years for $1 Billion Medicare Fraud Scheme
justice.gov
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Contributed by: Kate Gamble
Summary
Gary Cox, CEO of Power Mobility Doctor Rx, LLC, was sentenced to 15 years in prison and ordered to pay over $452 million in restitution for orchestrating a fraudulent scheme that scammed Medicare and federal health programs out of more than $1 billion. His operation involved generating false doctors' orders for unnecessary medical items through an internet platform, exploiting vulnerable patients via deceptive advertisements and offshore call centers. This case highlights the ongoing challenges in regulating telemedicine and medical equipment practices, emphasizing the critical need for enhanced oversight and protection against fraudulent activities within healthcare technology systems. The significant financial penalties serve as a warning to others in the industry about the consequences of engaging in similar fraudulent schemes.