CUSHING — A Cushing chiropractor whose medical supply company operated in Drumright was sentenced Oct. 8 to 14 years in federal prison for his role in a scheme that submitted more than $30 million in fraudulent health care claims.
Mark Loftis, 39, was also ordered to pay more than $8 million in restitution and forfeit more than $560,000, according to the U.S. Department of Justice.
A federal jury in the Middle District of Florida convicted Loftis July 21 of conspiracy to commit health care fraud and wire fraud following a 12-day trial.
Loftis owned Back Pain Home Supplies LLC, which did business as EZ Medical Supply. The federal provider registry lists the company at 116 S. Skinner Ave., Suite B, in Drumright. His professional website lists Drumright Neck & Back at the same street address and a second practice, Spine & Auto Injury Care, in Stillwater.
According to prosecutors, Loftis paid more than $1 million in illegal kickbacks to marketers, purported telemedicine companies and a call center. The operation persuaded elderly and disabled beneficiaries to provide personal and insurance information.
Loftis and his co-conspirators purchased fraudulent orders for orthopedic braces, continuous glucose monitors and other medical equipment. The doctors and nurse practitioners generating those orders never examined the beneficiaries and often never spoke with them, prosecutors said.
The claims were submitted to Medicare, TRICARE and CHAMPVA, a Department of Veterans Affairs program serving eligible veterans’ family members. The programs paid more than $8 million on the fraudulent claims. In one example, the operation billed for eight braces for a single beneficiary.
The Justice Department said Loftis continued the scheme for three years despite repeated complaints from beneficiaries and their families. Some relatives reported that their elderly parents had dementia or Alzheimer’s disease, making them particularly vulnerable to the sales tactics.
Prosecutors also said Loftis concealed a co-conspirator’s management role and the submission of claims generated by medical suppliers that were not enrolled in Medicare.
The FBI and inspectors general from the departments of Health and Human Services, Defense and Veterans Affairs investigated the case.