A federal jury in the Southern District of Florida convicted HealthSplash founder and CEO Brett Blackman in a healthcare fraud scheme that prosecutors said generated more than $1 billion in false Medicare claims, according to a Department of Justice press release issued Thursday.

Federal prosecutors said Blackman and his co-conspirators targeted hundreds of thousands of Medicare beneficiaries using telemarketing campaigns, foreign call centers and fraudulent telemedicine prescriptions tied to medically unnecessary orthotic braces and other medical equipment.

How The Scheme Worked

Authorities said Blackman controlled HealthSplash and its DMERx platform, which prosecutors described as an internet-based system used to generate false doctors' orders and prescriptions for durable medical equipment.

According to court documents, doctors allegedly accepted illegal kickbacks to sign prescriptions without conducting meaningful medical evaluations. Prosecutors said some doctors never spoke with the patients tied to the orders.

The Department of Justice said pharmacies and medical equipment suppliers involved in the scheme billed Medicare and other federal healthcare programs more than $1 billion and received over $450 million in payments.

Acting Attorney General Todd Blanche called the operation "one of the most egregious fraud schemes in Florida history."

Broader Healthcare Fraud Push

The conviction comes as the Trump administration expands healthcare fraud enforcement efforts across Medicare and Medicaid programs.

Last month, Centers for Medicare & Medicaid Services Administrator Mehmet Oz ordered all 50 states to submit Medicaid fraud prevention plans or face intensified federal audits.

Earlier this week, Vice President JD Vance announced additional anti-fraud measures, including a six-month pause on certain Medicare enrollments and a $1.3 billion Medicaid funding deferral tied to California.

The Justice Department has also intensified healthcare fraud prosecutions in recent years. In July 2025, the DOJ announced charges against more than 320 individuals in a separate healthcare fraud crackdown involving nearly $14.6 billion in fraudulent claims.

Blackman was convicted of conspiracy to commit healthcare fraud and wire fraud, conspiracy to pay and receive healthcare kickbacks and conspiracy to make false statements connected to healthcare matters. He faces up to 20 years in prison on the primary fraud conspiracy charge. Sentencing is scheduled for Aug. 26, 2026.

Disclaimer: This content was produced with the help of AI tools and was reviewed and published by Benzinga editors.

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