Gary Cox, the CEO of Power Mobility Doctor Rx, LLC, has been convicted by a federal jury for masterminding one of the largest health care fraud operations in recent history—an elaborate scheme that generated over $1 billion in false claims to Medicare and other federal benefit programs.
At the center of the operation was a telehealth platform called DMERx, which Cox and his co-conspirators used to create fake doctors’ orders for unnecessary medical equipment and prescriptions. According to evidence presented at trial, these fraudulent orders were then used to bill federal programs for orthotic braces, pain creams, and other items that patients either didn’t need or never received.
Court documents revealed that the scheme targeted hundreds of thousands of elderly Medicare beneficiaries. Using aggressive marketing campaigns, scammers acquired seniors’ personal and insurance information, which was then funneled into the DMERx platform to generate phony medical documentation.
Cox and his team profited by arranging illegal kickbacks among marketers, telemedicine companies, and pharmacies. Physicians were compensated for signing off on these fake orders—often after only a brief phone call or, in many cases, no direct patient interaction at all.
“The defendant orchestrated a scheme to defraud government health care benefit programs on a massive scale,” said Matthew Galeotti of the Department of Justice’s Criminal Division. “This was not just a financial crime—it was a direct attack on the integrity of programs meant to protect our most vulnerable citizens.”
Cox was found guilty of a range of charges, including conspiracy to commit health care and wire fraud, health care fraud, conspiracy to pay and receive kickbacks, and making false statements. He now faces up to 20 years in prison.
Christian Schrank, Deputy Inspector General at the Department of Health and Human Services, said the scheme amounted to a gross betrayal of public trust. “This case shows how criminal networks exploit seniors and siphon taxpayer dollars through fraudulent health care systems,” he said.
The investigation was conducted by the DOJ’s Criminal Division in partnership with the HHS Office of Inspector General and other federal agencies. Sentencing for Cox is expected to be announced in the coming months.
Authorities have vowed to continue cracking down on fraud schemes that abuse telehealth and federal health care infrastructure, especially as remote care becomes more widely used.
James Jenkins is a celebrated Pulitzer Prize-winning author whose work has reshaped the way readers think about social justice and human rights in America. Raised in Atlanta, Georgia, James grew up in a community that instilled in him both resilience and a strong sense of responsibility toward others. After studying political science and creative writing at Howard University, he worked as a journalist covering civil rights issues before dedicating himself fully to fiction. His novels are known for their sharp, empathetic portraits of marginalized communities and for weaving personal stories with broader political realities. Jenkins’s breakout novel, Shadows of Freedom, won national acclaim for its unflinching look at systemic inequality, while his more recent works explore themes of identity, resilience, and the fight for dignity in the face of oppression. Beyond his novels, James is an active public speaker, lecturing at universities and participating in nonprofit initiatives that support literacy and community empowerment. He believes that storytelling is a way to preserve history and inspire change. When not writing, James enjoys jazz music, mentoring young writers, and traveling with his family to explore cultures and stories around the world.
