Former MiMedx CEO sentenced to year in prison for fraud scheme

Ex-MiMedx CEO Parker Petit reportedly received a year-long prison sentence after a conviction for a fraud scheme involving the company.

Reuters reported that U.S. District Judge Jed Rakoff in his decision yesterday cited Petit’s age (81 years old), his current diagnosis of bladder cancer and history of charitable work as reasons that the sentence is shorter than it might have been for a fraud scheme involving distributors.

In November 2020, a Manhattan jury rendered verdicts against Petit and former COO William C. Taylor, whom federal prosecutors claimed had entered into undisclosed side arrangements with five distributors. These side arrangements allowed distributors to return product to MiMedx or conditioned distributors’ payment obligations on sales to end-users, the government charged.