Department of Justice
Office of Public Affairs

October 18, 2012

Houston Durable Medical Equipment Owner Indicted in Health Care Fraud and Aggravated Identity Theft Scheme

BEAUMONT, Texas – A 42-year-old Houston man has been indicted on Health Care Fraud related charges in the Eastern District of Texas, announced U.S. Attorney John M. Bales and Texas Attorney General Greg Abbott today.

Abayomi Onajobi, owner of a durable medical equipment (DME) company, was named in a 12-count indictment charging him with health care fraud and aggravated identity theft, which was returned by a federal grand jury on Oct. 17, 2012. 

According to the indictment, Onajobi is alleged to have devised a scheme in which he supplied medical equipment to Medicare and Medicaid beneficiaries which was not prescribed by a physician and that they neither requested nor needed.  Onajobi operated Medibay Medical Supply and is alleged to have used this company to bill Medicare and Medicaid for unauthorized and unprescribed orthotic braces, power wheelchairs, and heating lamps and pads.  Onajobi is also alleged to have used, without lawful authority, Medicare beneficiaries’ protected health care identification numbers to fraudulently bill Medicare and Medicaid.  As a result of the scheme Onajobi is alleged to have defrauded Medicare and Medicaid of over $585,000. 

If convicted, Onajobi faces up to 10 years in federal prison for each health care fraud charge and up to 2 years for each identity theft charge.

This case is being investigated by the U.S. Department of Health and Human Services – Office of Inspector General (HHS-OIG), and the Texas Office of the Attorney General – Medicaid Fraud Control Unit (OAG-MFCU).  Special Assistant U.S. Attorney Stephen R. Foster is prosecuting this case.

An indictment is not evidence of guilt and all defendants are presumed innocent until convicted in a court of law.





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