A Maryland obstetrician-gynecologist agreed to pay the United States 507500 dollars to resolve allegations of violating the False Claims Act in connection with a telemarketing scheme that allegedly defrauded Medicare and TRICARE.
Valinda R. Nwadike, MD of Leonardtown in St. Mary’s County, settled the civil case announced March 26, 2026, by U.S. Attorney Kelly O. Hayes for the District of Maryland. The settlement resolves claims that from November 1, 2014, through January 1, 2018, Nwadike created and signed thousands of fraudulent prescriptions for compounded drugs and durable medical equipment, including knee braces. Federal programs paid for these items, which the government contends were medically unnecessary.
Nwadike practiced in Southern Maryland with offices and affiliations in Leonardtown, California, and other locations serving St. Mary’s, Charles, and Calvert counties. She has been affiliated with MedStar St. Mary’s Hospital in Leonardtown and University of Maryland Charles Regional Medical Center in La Plata. Her practice addresses women’s health needs in the region where access to obstetric and gynecologic care remains a priority for residents.
The U.S. alleged that Nwadike wrote and signed prescriptions following brief phone calls with patients without conducting physical examinations or reviewing medical histories. As a result, Medicare and TRICARE paid for thousands of unnecessary compounded creams and medical equipment.
U.S. Attorney Hayes addressed the impact of such actions. “When physicians write prescriptions for medically unnecessary drugs and equipment, they abuse our federal health care programs,” Hayes said. “The U.S. Attorney’s Office continues to work with our partners at DCIS and HHS-OIG to hold fraudulent providers accountable. We’re committed to protecting taxpayer dollars using all available tools, including civil settlement.”
Maureen Dixon, Special Agent in Charge with the Department of Health and Human Services Office of Inspector General, emphasized program integrity. “Civil enforcement is an important approach to safeguarding the integrity of the Medicare program,” Dixon said. “This settlement demonstrates our commitment to ensuring that Medicare program dollars are only paid for services that are actually needed and appropriate for patients.”
Allison Russo with the Department of Defense Office of Inspector General, Defense Criminal Investigative Service, Mid-Atlantic Field Office, highlighted effects on military families. “This settlement highlights DCIS’s unwavering commitment to protecting the integrity of TRICARE, the DoD’s primary health care program, and ensuring that taxpayer dollars are not wasted on fraudulent schemes,” Russo said. “Healthcare fraud is not a victimless crime. It directly harms the American taxpayer and undermines the efforts of honest healthcare providers who are dedicated to serving our military members and their families. The DCIS, along with our law enforcement partners, will continue to aggressively pursue those who seek to enrich themselves at the expense of our military healthcare system.”
The case originated from a complaint filed by the United States in April 2023. Hayes commended the investigative work of HHS-OIG and DCIS. She thanked Assistant U.S. Attorneys Matt Shea and Roann Nichols, along with Investigator Ann Thiel, for handling the matter.
Nwadike’s practice in Southern Maryland connected her to patients across the tri-county area. Leonardtown serves as a hub for medical services in St. Mary’s County, with providers supporting both civilian and military populations near Naval Air Station Patuxent River. Her affiliations included roles at facilities that deliver care to residents of Charles St. Mary’s and Calvert counties, where community health needs include expanded women’s services and coordination with regional hospitals.
The settlement requires no admission of liability by Nwadike. It closes the civil allegations without further action on those specific claims. Federal authorities continue efforts to combat health care fraud through coordination between the Department of Justice, HHS-OIG, and DCIS.
Southern Maryland relies on a network of physicians to meet growing demand for specialty care. Cases like this underscore ongoing oversight of billing practices in federal health programs that serve local beneficiaries, including retirees and active-duty families.
Full details of the settlement appear in the official announcement from the U.S. Attorney’s Office for the District of Maryland.