A federal jury in the Southern District of Florida convicted the founder and owner of HealthSplash for his role in a scheme that prosecutors said fraudulently billed Medicare and other federal healthcare programs more than $1 billion for medically unnecessary equipment.
Brett Blackman, 42, of Johnson County, Kan., was convicted on charges including conspiracy to commit healthcare fraud and wire fraud, conspiracy to pay and receive healthcare kickbacks, and conspiracy to defraud the United States and make false statements in connection with healthcare matters, according to a May 14 Justice Department news release.
Federal prosecutors said Mr. Blackman owned and operated HealthSplash, which acquired Power Mobility Doctor Rx, LLC, known as DMERx, in 2017. The internet-based platform allegedly generated fraudulent doctors’ orders for durable medical equipment and prescriptions tied to telemedicine arrangements involving illegal kickbacks and bribes.
According to the release, Mr. Blackman and his co-conspirators targeted hundreds of thousands of Medicare beneficiaries through foreign call centers and spam mailers, pressuring seniors to accept orthotic braces and other medical equipment that was not medically necessary. Prosecutors said telemedicine doctors were paid to sign orders without properly examining patients and, in some cases, without interacting with them at all.
Suppliers and pharmacies involved in the scheme billed Medicare and other insurers more than $1 billion and received more than $450 million in payments, according to the release.
Mr. Blackman is scheduled to be sentenced Aug. 26, 2026, and faces up to 20 years in prison on the conspiracy to commit healthcare fraud and wire fraud conviction, according to the Justice Department.
At the Becker's 5th Annual Fall Payer Issues Roundtable, taking place November 2–3 in Chicago, payer executives and healthcare leaders will come together to discuss value-based care, regulatory changes, cost management strategies and innovations shaping the future of payer-provider collaboration. Apply for complimentary registration now.