Medical supply company owner pleads guilty to $2M Medicare fraud scheme

A Virginia medical equipment company owner pleaded guilty to conspiring to defraud Medicare. 

Advertisement

Julian Latty operated Beach Medical Suppliers with a co-conspirator, Jordan Thomas Broome, according to an Oct. 26 news release from the Justice Department. The company obtained personally identifiable information of Medicare beneficiaries and paid physicians to sign orders for medical equipment. 

The two owners billed Medicare for devices for 2,025 beneficiaries, requesting over $4 million in reimbursement and receiving over $2 million. The scheme was uncovered when beneficiaries complained to Medicare that they were receiving braces in the mail they had not requested. 

In March, Mr. Broome was sentenced to 5.5 years in prison for his role in the scheme. Mr. Latty is scheduled to be sentenced in February and faces up to five years in prison. 

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.

Download Whitepaper

The cost-saving opportunity most health systems overlook

Many hospitals and health systems scrutinize staffing, service lines, and payer contracts for savings. Fewer look at one of their largest assets: real estate.…

Advertisement

Next Up in Legal & Regulatory Issues

Advertisement

Comments are closed.