Madison Man Sentenced to 37 Months in Prison for Conspiracy to Defraud the United States

Jackson, MS – A Madison man was sentenced to 37 months in federal prison for conspiracy to defraud the United States.

According to court documents and statements made in court, Reginald Fullwood, Jr., 59, of Madison, 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, Jackson Medical Supply, to bill Medicare and Medicare Advantage plans for orthotic braces that were medically unnecessary and/or ineligible for reimbursement. When Medicare initiated an investigation of Jackson Medical Supply, the defendant 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 Medicare and Medicare Advantage plans for orthotic braces. Overall, Fullwood caused these entities to bill Medicare and Medicare Advantage approximately $12,441,625.30 and the entities were reimbursed approximately $6,448,092.61 for durable medical equipment that was medically unnecessary and/or ineligible for reimbursement.

Fullwood pleaded guilty to conspiracy to defraud the United States on August 28, 2024.

Acting U.S. Attorney Patrick A. Lemon of the Southern District of Mississippi, Special Agent in Charge Robert A. Eikhoff of the Federal Bureau of Investigation, and Special Agent in Charge Kelly Blackmon of the Department of Health and Human Services Office of Inspector General made the announcement.

The U.S. Department of Health and Human Services Office of Inspector General and the Federal Bureau of Investigation are investigating the case.

The case was prosecuted by Trial Attorney Sara Porter of the Gulf Coast Strike Force and Assistant United States Attorney Kimberly T. Purdie.