A Madison man pleaded guilty on Wednesday to conspiracy to defraud the federal government.
According to court documents, Reginald Fullwood Jr., 59, participated in a scheme to pay kickbacks to a marketer in exchange for completed doctors’ orders so that he could cause his durable medical equipment company to bill Medicare and Medicare Advantage plans for orthotic braces that were unnecessary for patients or ineligible for reimbursement.
Fullwood’s company called Jackson Medical Supply is located in Pearl.
When Medicare initiated an investigation of Jackson Medical Supply, Fullwood opened another entity in the name of a nominee owner and again paid kickbacks to a marketer in exchange for doctors’ orders so that the new entity could continue to bill providers for braces and other equipment.
Overall, Fullwood caused these entities to bill Medicare and Medicare Advantage approximately $12,441,625.30. The entities used by Fullwood were reimbursed approximately $6,448,092.30.
Fullwood is scheduled to be sentenced on Dec. 4, 2024, and faces a maximum penalty of five years in prison and a $250,000 fine.
The U.S. Department of Health and Human Services Office of Inspector General and the Federal Bureau of Investigation investigated the case before it was prosecuted by trial attorney Sarah Porter of the Gulf Coast Strike Force and Assistant U.S. Attorney Kimberly Purdie.
