Jeremiah and Maria Luisa Yzaguirre

Introduction

Jeremiah Yzaguirre, 47, and his wife Maria Luisa Yzaguirre, 47, of Harlingen, Texas, were sentenced on 23 October 2026 to federal prison terms for a Medicare fraud scheme run through their durable medical equipment business — 110 months for Jeremiah and 80 months for Maria Luisa, along with orders to pay more than $9.2 million in restitution. Both pleaded guilty in April 2025 to defrauding Medicare through billings for power wheelchair parts and repairs that were never actually performed or provided.

Background Information

The Yzaguirres operated Southwest Medical Homepatient, a Harlingen business enrolled in Medicare as a provider of durable medical equipment and services, purporting to supply parts and repairs for power wheelchairs. Between 2019 and 2023, the couple caused Medicare to be billed approximately $14 million for power wheelchairs, parts, and repairs for only 37 individual Medicare beneficiaries — with multiple instances in which they billed for hundreds of parts and repairs on a single beneficiary’s wheelchair.

The Controversy or Incident That Led to Their Cancellation

Convicted and sentenced. The Yzaguirres pleaded guilty on 22 April 2025 and were sentenced on 23 October 2026; the fraud admissions came from their own pleas.

As part of their pleas, both admitted they were paid millions of dollars for parts and repairs that were never performed or provided, and both acknowledged billing Medicare approximately $736,072 for a single beneficiary by falsely claiming to have replaced expensive wheelchair parts hundreds of times. The investigation found the couple spent the proceeds on cryptocurrency, a vehicle, electronics, miscellaneous collectibles, and purses. U.S. District Judge Fernando Rodriguez Jr. imposed the prison terms, three years of supervised release for each, $9,248,976 in restitution to Medicare, and a $25,000 fine on each defendant.

Public Reaction and Consequences

The sentencing closed a case built by the FBI, the Department of Health and Human Services Office of Inspector General, Texas Health and Human Services OIG, the Texas Attorney General’s Medicaid Fraud Control Unit, and the Texas Department of Insurance, prosecuted by Assistant U.S. Attorneys Andrew Swartz and Ana Cano. The Justice Department framed the case under its National Fraud Enforcement Division, created in April 2026 to pursue fraud against federal benefit programs.

Current Status

Both Yzaguirres remain in custody pending transfer to a Federal Bureau of Prisons facility. Their 110- and 80-month terms followed guilty pleas rather than a trial, and the restitution obligation — $9,248,976 — formally recognizes what Medicare paid out on their billings for the 37-beneficiary scheme.

Impact on Their Career/Life

The couple’s medical-equipment business is at an end, their assets bought with the fraud proceeds — from cryptocurrency to purses — are part of the case record, and both spouses face years in federal prison followed by supervised release. The plea admissions, in their own words at arraignment and change-of-plea, converted a four-year billing pattern into a multimillion-dollar restitution judgment against both of them.

Sources

  • U.S. Attorney’s Office, Southern District of Texas, “Harlingen couple sentenced in multimillion-dollar Medicare fraud scheme” — source
Page updated: October 23, 2026