Maria Luisa Yzaguirre, Power Wheelchair Fraud, Texas 2023

Power Wheelchair Fraud Scheme Exposed in Texas

U.S. Attorney Alamdar S. Hamdani announced that the operators of a durable medical equipment company have been charged with defrauding Medicare in a multi-million dollar power wheelchair fraud scheme.

The operators, Maria Luisa Yzaguirre, 43, of Harlingen, Texas, were taken into custody after an investigation revealed that they had submitted over $14 million in claims to Medicare for power wheelchairs, power scooters, parts, and repairs for 37 individuals between 2019 and 2023.

The 16-count indictment charges the Yzaguires with conspiracy to commit health care fraud, aggravated identity theft, and money laundering. If convicted, they each face up to 10 years in prison for health care fraud and money laundering and a mandatory two years for each count of aggravated identity theft, which must be served consecutively to any other prison term imposed.

The indictment alleges that in one instance, they billed Medicare approximately $736,072 in parts and repairs for one patient, submitting repair claims 132 times for the expandable controller, 107 times for the motor-gearbox, and 84 times for the battery. The patient was bed-bound and did not have access to the power wheelchair when the repairs were allegedly conducted.

The Yzaguires used the proceeds of the fraud scheme to purchase millions of dollars in real estate, cryptocurrency, stock, a luxury sports car, and expensive movie memorabilia.

The FBI, Department of Health and Human Services-Office of Inspector General, Texas Health and Human Services, Texas Attorney General – Medicaid Fraud Control Unit, and Texas Department of Insurance conducted the investigation. Assistant U.S. Attorneys Andrew Swartz and Ana Cano are prosecuting the case.

Maria Luisa Yzaguirre is expected to make her initial appearance before U.S. Magistrate Judge Ignacio Torteya III at 9:30 a.m. on August 31. Jeremiah Yzaguirre was arrested on August 22.

An indictment is a formal accusation of criminal conduct, not evidence. A defendant is presumed innocent unless convicted through due process of law.

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