The US Attorney’s Office for the Middle District of North Carolina announced on January 29, 2026 that a co-owner of Restorative Medical received 24 months in prison and a restitution order of about US$2.48 million for healthcare fraud.
According to the announcement, the supplier billed Medicaid for maximum reimbursable quantities of incontinence products, including adult diapers, regardless of the number actually delivered. The conduct ran from around 2018 to January 2024. This is a supply-and-billing case, not a finding of defective diapers or misconduct by their manufacturers. WDO checked the agency release, not the underlying judgment.