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.
At the Becker's 11th Annual IT + Revenue Cycle Conference: The Future of AI & Digital Health, taking place September 14–17 in Chicago, healthcare executives and digital leaders from across the country will come together to explore how AI, interoperability, cybersecurity, and revenue cycle innovation are transforming care delivery, strengthening financial performance, and driving the next era of digital health. Apply for complimentary registration now.