Oklahoma business owner receives 14 years for fraudulent medical equipment billing.
An Oklahoma chiropractor and medical supply business owner has been sentenced to 14 years in federal prison for his role in a scheme that sought more than $30 million from government health insurance programs through false claims for medical equipment. The case involved Medicare, TRICARE, and the Civilian Health and Medical Program of the Department of Veterans Affairs (CHAMPVA). Prosecutors said the equipment was sent to people who did not need or want it, while false paperwork was used to seek payment.
Mark Loftis, 39, of Cushing, Oklahoma, received the sentence after a federal jury found him guilty of conspiracy to commit health care fraud and wire fraud. The trial lasted 12 days and ended in July 2026. Along with his prison term, Loftis was ordered to repay more than $8 million to cover losses from the scheme and give up more than $560,000. Court records and evidence presented at trial showed that Loftis and others operated a medical equipment company called Back Pain Home Supplies LLC, which did business as EZ Medical Supply. Prosecutors said the group concealed information about who owned and managed the company and hid the fact that businesses not enrolled in Medicare were submitting claims through it.
The operation involved medical equipment known as durable medical equipment, which includes items designed for repeated use to support a person’s health or daily needs. The products involved in this case included braces used to support parts of the body, continuous glucose monitors that help track blood sugar levels, and other medical supplies. Such equipment can be useful when prescribed for a real medical need, but prosecutors said many of the items billed through the scheme were unnecessary.
Investigators found that Loftis and his associates paid more than $1 million in illegal kickbacks to people and businesses that helped bring in customers. Payments reportedly went through a marketing company that prosecutors described as a front, along with marketing firms, companies claiming to provide telemedicine services, and a call center. These groups contacted older adults and people with disabilities, persuading them to share personal information and accept medical equipment they did not need.
The scheme also relied on medical orders that were allegedly bought rather than based on proper patient care. Prosecutors said the group purchased orders for braces, glucose monitors, and other equipment from doctors and nurse practitioners connected to telemedicine services. In many cases, those medical professionals had not examined the patients and had often not even spoken with them before the orders were issued.
The false claims added up to more than $30 million, according to federal officials. Medicare and the other government programs paid more than $8 million in response to those claims. In one example presented in the case, the company billed for eight braces for a single person. Prosecutors said the billing practices were part of a wider effort to collect money for products that beneficiaries did not need.
Federal officials said schemes involving kickbacks, false medical orders, and the misuse of patient information can drain public funds and weaken trust in health care programs. Money paid for false claims reduces the resources available to support people who depend on these benefits. The case also raised concerns about marketing practices that pressure people to share sensitive personal details without a genuine medical need.
Loftis’s sentence follows a jury verdict finding him guilty of the federal charges. The case shows how medical supply businesses, marketing operations, and questionable medical orders can be combined to seek payments from public insurance programs. Federal investigators continue to pursue cases involving false billing and illegal payments, with the goal of protecting public funds and preserving access to benefits for people who rely on them.
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Oklahoma chiropractor sentenced to 14 years in $30M healthcare fraud
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