South Carolina Man Sentenced in Massive Medicare Fraud Scheme

South Carolina Man Sentenced in Massive Medicare Fraud Scheme
FILE PHOTO: The seal of the United States Department of Justice is seen on the building exterior of the United States Attorney's Office of the Southern District of New York in Manhattan, New York City

COLUMBIA, S.C. — Andrew Chmiel, a 48-year-old resident of Mt. Pleasant, received a nine-year federal prison sentence for his involvement in a scheme exceeding $100 million. This scheme involved the exchange of kickbacks and bribes for orders of unnecessary durable medical equipment (DME).

Chmiel faced charges stemming from Operation Brace Yourself, a probe initiated in South Carolina in 2019. This investigation, part of a broader effort by the Department of Justice’s Criminal Division Fraud Section, led to over 80 search warrants across 17 federal districts.

Evidence revealed that Chmiel managed at least 10 DME companies across the United States. These companies submitted fraudulent Medicare claims for unnecessary braces, fueled by kickbacks and bribes.

The operation leveraged an offshore call center to acquire doctors’ orders, allowing these DME companies to bill Medicare falsely. This call center promoted its services through television and internet ads, often persuading Medicare beneficiaries of their need for braces.

Chmiel tried to conceal his purchase of doctors’ orders through fabricated invoices for marketing and business services. His companies, including the DME and dropship firms, billed Medicare for more than $200 million, with over $95 million paid out.

At his sentencing, Chmiel was also penalized for obstructing justice. He had provided false testimony in a New York trial, violating his plea agreement terms.

U.S. Attorney Adair F. Boroughs remarked on the sentencing, highlighting the commitment to combating health care fraud in South Carolina and nationwide.