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HealthSplash Founder Convicted in $1 Billion Medicare Fraud Scheme

Sentencing is set for August 26.

Overview

  • A federal jury in the Southern District of Florida found Brett Blackman guilty of conspiracies involving health care fraud, wire fraud, kickbacks, and false statements.
  • Prosecutors said Blackman used HealthSplash’s DMERx software to generate fake doctors’ orders and steer them to suppliers and telemedicine firms that paid illegal fees.
  • The scheme targeted hundreds of thousands of Medicare beneficiaries through overseas call centers, mailers, and TV ads, and an undercover agent showed a doctor signed orders without any real exam.
  • DME suppliers and pharmacies billed more than $1 billion and were paid over $450 million, while conspirators used sham contracts and edited orders to avoid audits.
  • HHS‑OIG, the FBI, VA‑OIG, and DCIS investigated the case, and co‑defendant Gary Cox was previously sentenced to 15 years in prison.