Peter Roussonicolos, 64, of Port Saint Lucie, Florida, was sentenced to 12 years in prison and three years of supervised release for orchestrating a massive Medicare fraud scheme involving durable medical equipment (DME). In addition to prison time, he was ordered to pay $21.2 million in restitution and forfeit over $2.5 million in illegally obtained assets.
According to court records, Roussonicolos acted as the hidden owner of five DME supply companies, concealing his involvement from Medicare due to prior felony convictions that disqualified him from participating in the program. To maintain this deception, he recruited others to act as nominee owners, directed falsification of Medicare enrollment forms, bank records, and corporate documentation, and engaged in a widespread kickback scheme.
Roussonicolos and his co-conspirators submitted approximately $61.5 million in false claims to Medicare for medically unnecessary equipment. Of those, $26.7 million was paid out. Investigators found that a co-conspirator paid illegal kickbacks to patient recruiters in exchange for beneficiary referrals, further inflating the fraudulent billing.
“Through lies and deceit, the defendant and his co-conspirators orchestrated a $61 million fraud on Medicare,” said Matthew R. Galeotti of the Justice Department’s Criminal Division. “This sentence affirms our resolve to protect healthcare resources and hold offenders accountable.”
Officials from HHS-OIG and the FBI also condemned the fraud. “We remain steadfast in our mission to protect the integrity of Medicare,” said Deputy Inspector General Christian J. Schrank. FBI Assistant Director Jose A. Perez added that the sentencing “demonstrates that those who exploit our healthcare system for personal gain will be held accountable.”
Roussonicolos pleaded guilty in November 2024 to conspiracy to commit health care fraud and wire fraud.
The case was investigated by the FBI and the U.S. Department of Health and Human Services Office of Inspector General (HHS-OIG). It was prosecuted by attorneys from the DOJ’s Fraud Section and Special Matters Unit as part of the Health Care Fraud Strike Force, which has charged over 5,800 defendants and exposed more than $30 billion in fraudulent healthcare claims since 2007.
