By George F. Indest III, J.D., M.P.A., LL.M., Board Certified by The Florida Bar in Health Law
On September 4, 2026, the U.S. Department of Justice (DOJ) announced that two owners of Florida durable medical equipment (DME) companies were sentenced to prison for their involvement in a $34.8 million Medicare scheme related to orthotic brace claims. The two men, Kenneth Charles Kessler III and Michael Andrew Gomez, pleaded guilty in May 2026 to one count of conspiracy to commit health care fraud.
According to the DOJ, the companies shipped braces to beneficiaries who had not requested or did not need them, using fraudulent doctors’ orders obtained through kickbacks.
How Did the Medicare Brace Scheme Work?
The two men owned and operated seven DME supply companies in Florida. The DOJ stated that kickbacks and bribes were paid to obtain fraudulent signed doctors’ orders. Their companies shipped braces to Medicare beneficiaries across the country and billed Medicare for the equipment. When Medicare suspended payments to some companies, the men shifted billing among their other companies, according to the DOJ.
The DOJ announced that Kessler was sentenced to 33 months in prison, and Gomez was given 24 months in prison.
Authorities said that Kessler and Gomez personally profited over $1.4 million and $2.3 million from the scheme. The $34.8 million figure reflects claims billed to Medicare, not the amount each defendant received.
The Takeaway for Healthcare Professionals
The DOJ announcement describes a scheme built on three connected practices: fraudulent orders, kickbacks, and claims for braces patients did not need or request. Prescribers and suppliers can reduce their exposure by checking the source of orders, documenting medical necessity, and responding quickly when records or billing raise concerns.
Health care professionals should obtain legal advice before contacting investigators or making assumptions about the scope of the issue. Physicians and nurse practitioners should run away from any company or organization that contacts them offering to hire them to:
6.Allow the use of their name, medical license number or NPI for any of the above.
Contact Health Law Attorneys Experienced with Health Care Fraud, False Claims Act Violations, and Anti-Kickback Statute Violations
The attorneys of The Health Law Firm represent healthcare providers in cases of medical billing fraud, overbilling, Medicare audits, program integrity Contractor audits, False Claims Act cases, and whistleblower/qui tam cases throughout Florida and across the United States. Our attorneys also represent physicians, medical groups, nursing homes, home health agencies, pharmacies, hospitals and other healthcare providers and institutions in Medicare and Medicaid investigations, audits, recovery actions and termination from the Medicare or Medicaid Program.To contact The Health Law Firm, please call (407) 331-6620 or toll-free at (888) 331-6620 and visit our website at www.TheHealthLawFirm.com.
Sources:
NBC6 South Florida. “2 South Florida men sentenced in $34.8M health care fraud conspiracy, DOJ says.” Crime and Courts. (September 4, 2026). Web.
About the Author: George F. Indest III, J.D., M.P.A., LL.M., is Board Certified by The Florida Bar in Health Law. He is the President and Managing Partner of The Health Law Firm, which has a national practice. Its main office is in the Orlando, Florida, area. www.TheHealthLawFirm.com The Health Law Firm, 1101 Douglas Avenue, Suite 1000, Altamonte Springs, FL 32714, Phone: (407) 331-6620 or Toll-Free: (888) 331-6620.
