Orthopedic equipment company owner pleads guilty in $11M kickback scheme

Orthopedic

The owner of two durable medical equipment companies pleaded guilty for his role in an $11 million kickback scheme, the U.S. Attorney's Office for the Northern District of Georgia said Nov. 16.

Simon Orobor owned Devotion Medical Supply and Durable Medical Supply, which provided equipment including knee, back, shoulder and wrist braces. Through another entity, he gained access to thousands of Medicare beneficiaries by paying weekly kickbacks to an individual and company in exchange for signed physician orders for braces. The kickbacks were disguised as marketing expenses through fradulant invoices.

The scheme, which ran between June 2016 and February 2019, led to about $11 million in reimbursements and $20 million in total submitted claims.

Mr. Orobor pleaded guilty to one count of conspiracy to pay health care kickbacks. He is scheduled to be sentenced in February next year.

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