The Wound Pros lawsuit is a federal court action the U.S. Department of Justice filed in June 2024 to force Wound Pros Management Group and nearly a dozen affiliated companies to comply with Civil Investigative Demands issued as part of a False Claims Act investigation into their Medicare billing. The case, United States v. Wound Pros Management Group, No. 2:24-mc-00263, sits in the U.S. District Court for the Eastern District of California and remains active in 2025, with much of the underlying material sealed.1CourtListener. United States v. Wound Pros Management Group
What the DOJ Is Investigating
The government issued Civil Investigative Demands numbered 23-1300 through 23-1312 to Wound Pros and its related entities in 2023. When the companies did not fully comply, the DOJ filed a Petition for Order to Show Cause and Summary Enforcement on June 27, 2024, in Sacramento. The docket classifies the matter under “Other Fraud.”2GovInfo. USA v. Wound Pros Management Group et al
The CIDs reach into several corners of the company’s operations. According to a compliance analysis of the demands, the DOJ asked for documents on the administration of wound grafts, patient-level data on skin substitute treatments, billing for services performed “incident to” physician care, the supervision of non-physician practitioners, and the company’s IT systems. The technology piece is specific: the government wants information about software fields pre-populated or auto-populated by someone other than a physician. The demands also cover internal complaints about billing, personnel actions taken in response to fraud concerns, and every contract and compensation arrangement involving company owners and investors.3Compliance and Ethics. Anatomy of a Civil Investigative Demand
A CID is not a lawsuit alleging fraud. It is an investigative tool. But the subject matter of these demands maps closely onto the theories the DOJ has pursued in other Medicare skin substitute cases: unnecessary grafts, questionable supervision of billing staff, and software configured to push claims toward higher-reimbursed codes.
The Twelve Entities Named
The petition names twelve respondent entities, reflecting a network of state-specific professional corporations and holding companies:
- Wound Pros Management Group
- Global Wound Care Medical Group
- Wound Pros, P.C.
- Wound Pros Doctors, P.C.
- Wound Pros Enterprises LLC
- Wound Pros Georgia P.C.
- Wound Pros Holdings, P.C.
- Wound Pros Nevada Inc.
- Wound Pros Technology Inc.
- Wound Pros Tennessee P.C.
- Wound Pros Texas PLLC
- Wound Pros Ventures LP
Each was served with the petition in early July 2024.1CourtListener. United States v. Wound Pros Management Group
Where the Case Stands
Much of what has happened since the June 2024 filing is not visible to the public. On July 17, 2024, Magistrate Judge Carolyn K. Delaney granted the government’s request to seal exhibits attached to the petition. The defendants then sought their own redactions, and on October 29, 2024, Magistrate Judge Allison Claire allowed confidential material in Exhibits 28 through 31 to be redacted.4GovInfo. Protective Order, United States v. Wound Pros Management Group Attorney David S. Schumacher was admitted pro hac vice to represent the respondents in August 2024.2GovInfo. USA v. Wound Pros Management Group et al
On April 15, 2025, the case was reassigned to District Judge Daniel J. Calabretta, with continued referral to Magistrate Judge Claire. Ten days later, the court approved Charles B. Oppenheim as new counsel for the defendants, replacing Catherine S. Wicker.1CourtListener. United States v. Wound Pros Management Group The case remained active and unresolved as of that filing, reportedly complicated by the bankruptcy of an affiliated entity.
The Global Wound Care Bankruptcy
Global Wound Care Medical Group, one of the twelve entities named, filed for Chapter 11 bankruptcy on October 21, 2024, in the U.S. Bankruptcy Court for the Southern District of Texas. The Los Angeles-based company reported total liabilities of $157.1 million. About $156 million of that was owed to its management company. The filing cited allegations of potential fraud and a yearlong federal investigation among its causes.5Law360. The Story Behind Global Wound Care Groups Ch. 11
The financial pressure was compounded by a Medicare payment suspension that took effect in October 2024. A year later, in October 2025, Global Wound Care said it was still waiting on $27.2 million in Medicare reimbursements and filed a joint notice extending a stipulation on the suspension.6Law360. Global Wound Care Flags Medicare Delay Amid Shutdown The bankruptcy, before Judge Christopher M. Lopez with Ankura Consulting as financial advisor to the debtor, remained active as late as May 2026.7INFOruptcy. Bankruptcy Case – Global Wound Care Medical Group
Earlier Medicare Revocations of Wound Pros Entities
Two Wound Pros entities lost their Medicare enrollment before the DOJ investigation surfaced publicly. In both cases, unannounced government inspections found the offices closed and unstaffed during the hours the companies had reported to Medicare.
Wound Pros Nevada, located at 1700 East Desert Inn Road in Las Vegas, was inspected on November 18 and 19, 2021. Inspectors found the facility locked, with no sign of staff or activity, though the company’s enrollment application stated it was open 40 hours a week. CMS revoked the enrollment effective November 18, 2021, and imposed a three-year bar on reenrollment. An administrative law judge affirmed the revocation on March 9, 2023, noting the company had not submitted witness testimony or requested cross-examination of the inspector.8HHS Departmental Appeals Board. Wound Pros Nevada, Decision No. CR6250
Wound Pros Arizona had the same outcome. Two site inspections on October 25 and 28, 2021, found its office closed and unstaffed during the 9-to-5 hours it had disclosed. The company argued it was a physician-owned practice that delivered wound care in patients’ homes and used the office only for administration and supply storage. On March 9, 2023, ALJ Scott Anderson rejected that explanation, ruling that certifying specific hours on the enrollment application obligated the company to be open and accessible during those hours.9HHS Departmental Appeals Board. Wound Pros Arizona, Decision No. CR6251
The Wider Wound Care Fraud Crackdown
The Wound Pros investigation is unfolding inside a much larger federal enforcement effort focused on skin substitutes billed to Medicare. Medicare Part B spending on skin substitutes passed $10 billion a year by the end of 2024, according to a September 2025 report from the HHS Office of Inspector General, which said these products remain “particularly vulnerable to questionable billing and fraud schemes.”10HHS Office of Inspector General. Medicare Part B Payment Trends for Skin Substitutes Raise Major Concerns About Fraud, Waste, and Abuse
Other wound care companies have already been prosecuted or settled: Apex Medical owners were sentenced in 2024 for a $1.2 billion scheme, Vohra Wound Physicians agreed in November 2025 to pay $45 million to resolve False Claims Act allegations about upcoded debridements, and the DOJ seized more than $2 million from Expert Wound Care in April 2026. None of those cases involve Wound Pros entities, but they mark the enforcement backdrop against which the Wound Pros investigation continues, with key filings still under seal.