This CEO who was photographed wearing a gold dollar-sign chain has been convicted in a $1 billion Medicare scheme that targeted thousands of seniors

“This was cold, calculated, industrial-scale theft targeting the sick and elderly, coercing vulnerable people into buying unnecessary medical equipment,” acting U.S. Attorney General Todd Blanche said in a May 14 press release. “We will not rest until every fraudster ripping off the American people is held accountable.”

Blackman could face 30 years in prison over health care fraud, wire fraud, conspiracy to pay and receive health care kickbacks, conspiracy to defraud the United States and to make false statements in connection with healthcare matters.

His partner in crime, Gary Cox, 79, was convicted and sentenced to 15 years for his part in the scheme in June 2025.

A billion-dollar fraud operation

Federal prosecutors said Blackman helped operate a company that generated about $1 billion in fraudulent doctors’ orders used to bill Medicare and other federal services under the companies Healthsplash Inc. and Power Mobility Doctor Rx.

South Florida was the base of operations for the scheme, which included Miami-Dade County, as well as Kansas and Arizona. The alleged fraud took place from 2015 through 2020 and involved executives tied to Blackman’s companies.

Healthsplash and the other companies ran an online portal that produced doctors’ orders for braces, prescription creams and other medical supplies. Those orders were then funneled to medical suppliers, including pharmacies, which used them to submit claims to Medicare, among others.

“The defendant orchestrated a scheme to defraud government healthcare benefit programs on a massive scale, creating fraudulent doctors’ orders used to bill insurers over $1 billion,” the head of the Justice Department’s Criminal Division, Matthew Galeotti, said. “Americans are all too familiar with junk mail and spam calls that target seniors to steal their personal information and promote waste, fraud, and abuse in our economy. The Criminal Division will continue to aggressively prosecute health care fraud schemes to hold criminals accountable, protect the vulnerable, and recover financial losses.”

Older adults can be protected from similar scams

Advocates for older adults say one of the best ways families can protect older relatives from Medicare fraud is by regularly reviewing Medicare Summary Notices and insurance statements for unfamiliar charges, equipment or providers.

Some other examples of Medicare fraud, according to the National Council on Aging, include:

• Charging for services or supplies that were not provided
• Misrepresenting a diagnosis, a person’s identity, the service provided or the means to justify payment
• Prescribing or providing excessive or unnecessary tests and services
• Offering or receiving a bribe in exchange for a beneficiary’s Medicare number

Experts also warn older adults to be suspicious of unsolicited phone calls, emails or advertisements offering free medical equipment or services in exchange for Medicare information. Representatives will never ask you for your Medicare or Social Security number over the phone.

Suspected fraud can be reported to Medicare, the Department of Justice National Elder Fraud Hotline or state consumer protection agencies. Early reporting not only helps the victims, but can also prevent further schemes from continuing to target others.