Florida Man Sentenced To Five Years For Orchestrating Multimillion-Dollar Medicare Billing Fraud Scheme

United States Attorney for the Southern District of New York, Jay Clayton, announced today that TED ALBIN was sentenced to five years in prison for his role in orchestrating a multimillion-dollar Medicare fraud scheme. The defendant was convicted on June 24, 2025, following a 12-day jury trial before U.S. District Judge John G. Koeltl, who imposed today's sentence.

"Ted Albin used fraudulent prescriptions to cheat Medicare out of millions," said U.S. Attorney Jay Clayton. "Schemes like this cost every New Yorker, including by driving up healthcare costs and diverting resources from seniors and the disabled who need care. Today's sentence makes clear that those who cheat Medicare will face serious consequences."

According to court documents, statements made in court, and evidence presented at trial:

From approximately 2016 through April 2021, ALBIN operated Grapevine Professional Services ("Grapevine"), a medical billing company, which he used to submit fraudulent reimbursement claims for durable medical equipment ("DME"), including back braces, knee braces, wrist braces, and shoulder braces. ALBIN submitted thousands of fraudulent claims on behalf of DME supply companies that had engaged Grapevine for its billing services, including multiple DME supply companies owned and controlled by ALBIN and his sister, Erin Foley. ALBIN's fraudulent claims were based on prescriptions for DME which he knew had been illegally purchased with kickbacks paid by the DME supply companies. Many of the kickback-tainted prescriptions billed by ALBIN were generated with forged doctor's signatures and without regard to the medical need of the patients for whom braces had been prescribed. ALBIN knew of the fraudulent nature of the claims he submitted to Medicare and nonetheless continued to submit such claims, over and over, for years. In total, the DME companies for which ALBIN submitted claims billed Medicare for over $38 million, on which Medicare paid out over $12 million.

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In addition to the prison term, ALBIN, 49, of Stuart, Florida, was sentenced to three years of supervised release. The Court deferred the calculation of restitution until a later date.

Mr. Clayton praised the outstanding investigative work of the U.S. Department of Health and Human Services - Office of Inspector General.

This case is being handled by the Office's Complex Frauds and Cybercrime Unit. Assistant U.S. Attorneys William Kinder, Jackie Delligatti, Brandon Thompson, and Ryan Finkel are in charge of the prosecution.