A Texas doctor was sentenced today to 10 years in federal prison and ordered to pay over $26 million in restitution for his central role in a vast Medicare fraud scheme. Dr. David M. Young, 61, of Fredericksburg, was convicted in May 2024 for his involvement in a fraudulent operation that involved prescribing medically unnecessary durable medical equipment and genetic testing, all without ever seeing, speaking to, or treating the patients involved.
According to court documents and evidence presented during the trial, Dr. Young signed thousands of prescriptions for orthotic braces and cancer genetic tests, falsely claiming that these items were medically necessary and that he had diagnosed and treated the patients. Over a period of time, he prescribed these items to more than 13,000 Medicare beneficiaries, many of whom he never interacted with in any way. In fact, some of the supposed patients were undercover agents posing as Medicare recipients.
These fraudulent prescriptions were then used by brace supply companies and laboratories to submit more than $70 million in false Medicare claims. In exchange for his participation, Dr. Young received approximately $475,000.
The scheme was part of a larger telemarketing scam in which companies used telemarketers to solicit Medicare beneficiaries, pressuring them into accepting medical equipment and tests that were not necessary. Once the beneficiaries “agreed” to the treatments, the prescriptions were funneled to Dr. Young, who provided the needed signatures despite not providing any medical services.
The jury convicted Dr. Young of one count of conspiracy to commit health care fraud and three counts of making false statements in health care matters. The conspiracy charge carries a maximum sentence of 10 years in prison, while each of the false statement charges carries up to five years in prison.
In addition to his prison sentence, Dr. Young was ordered to pay restitution in the amount of $26,622,522.82 to Medicare for the fraudulent claims submitted in his name. A federal district court judge will determine the exact length of his sentence, taking into account sentencing guidelines and other legal factors.
