Los Angeles Business Journal

Former Long Beach Medical Supply Shop Owner Pleads Guilty to Fraud

By Jonathan Polakoff Tuesday, August 27, 2013

The former owner of a Long Beach medical equipment supply company pleaded guilty in federal court in Los Angeles on Monday to a $2.6 million health care fraud scheme.

Akinola Afolabi, 54, admitted that his firm, Emmanuel Medical Supply, provided power wheelchairs and other devices his customers did not need. He then filed claims to Medicare for the devices, according to the U.S. Department of Justice.

Between 2006 and 2009, Afolabi filed about $2.6 million in fraudulent claims and Medicare paid his supply firm about $1.5 million.

Alofabi’s sentencing is scheduled for Nov. 25. He faces a maximum penalty of 10 years in prison and a $250,000 fine.