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A Utah company has agreed to a $7.5 million settlement of a whistleblower lawsuit that alleged sales employees falsified records to get Medicare and other federal health programs to pay for wheelchairs for some of its customers.

Orbit Medical Inc., of Murray, and Rehab Medical Inc., of Indianapolis, which split off from the Utah-based operation after the fraudulent actions occurred, agreed to the settlement with the Department of Justice and two former employees who filed a federal court lawsuit alleging fraud.

"Taxpayers' dollars paid for power wheelchairs not legitimately prescribed by a physician," U.S. Attorney for Utah Carlie Christensen said in news release announcing the settlement.

Brandon Bliss, owner and acting CEO of Orbit Medical, said the company cooperated with the Department of Justice's four-year investigation.

"We are relieved to close this chapter and move forward operating our business," he said in a statement.

The former employees filed the lawsuit in 2010 under the False Claims Act, which allows citizens to sue on behalf of the federal government over fraudulent claims made to its programs and to share in any recovered funds. Dustin Clyde and Tyler Jackson are to receive $1.5 million as their share of the Orbit Medical settlement.

A federal grand jury indicted the former vice president and sales manager at Orbit Medical, Jake Kilgore, in October 2013 on charges of health care fraud, wire fraud and making false statements to federal health care programs. He pleaded not guilty and the case remains pending.

The lawsuit alleged that Orbit Medical sales representatives altered physician prescriptions and supporting documentation to get wheelchair and other claims paid for by Medicaid, the Federal Employees Health Benefits Plan and the Defense Health Agency.

Kilgore "condoned and encouraged" the falsification of paperwork, the complaint alleged. The indictment alleges the fraud took place under his management and supervision. It also singled out three unnamed and unindicted "co-schemers."

An attorney for the companies did not immediately return a message seeking comment.

Since January 2009, the False Claims Act has helped the Justice Department recover $24 billion, the news release says.