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Zynex, Inc. Resolves Federal Investigation: A New Path Forward

ENGLEWOOD, Colo. — Feb. 17, 2026 /PRNewswire/

Zynex, Inc. has proudly announced the successful resolution of a federal investigation concerning the business practices implemented by its former executives. This momentous announcement was officially made today and includes a non-prosecution agreement (NPA) that has been signed with the United States Attorney’s Office for the District of Rhode Island (USAO RI). Under this agreement, the USAO RI will refrain from pursuing any criminal charges against the company and will not require the appointment of an independent compliance monitor going forward.

Commitment to Change: CEO’s Vision

Steven Dyson, the Chief Executive Officer of Zynex, expressed the significance of this resolution: “The conclusion we have reached today symbolizes a fulfillment of our commitments as a newly established management team since arriving in August 2025. Our focus has been clear: to distance ourselves from past issues, rebuild the company with compliance as a fundamental aspect, and create a promising future for our customers and employees." He emphasized that the patients who rely on Zynex’s products will benefit greatly from the positive changes that have been put into place, changes that had been previously overshadowed by past practices. "Our devoted team has spent six months exclusively focused on reconstructing our organization to prioritize transparency, integrity, and compliance. We aim to ensure that our exceptional products are consistently backed by equally exceptional operations," Dyson stated.

Understanding the legal Landscape

The USAO RI ultimately reached its non-prosecution decision owing to Zynex’s extensive remedial actions, which included the establishment of internal controls explicitly designed to identify and prevent improper billing. Furthermore, the management team’s cooperation with the ongoing investigation was a critical factor in this favorable outcome.

Thus, proper legal guidance during such turbulent times is essential for businesses that may face scrutiny regarding their operational practices. Here, the AI legalese decoder serves as a valuable resource by simplifying complex legal jargon into understandable terms. This can help companies understand legal documents better, ensuring that they are compliant and prepared for negotiations or legal discussions.

Overhauling Compliance: A New Culture of Integrity

John Bibb, the Chief legal Officer, elaborated on the steps taken to overhaul company practices: “We have completely redesigned our order-to-cash processes and have implemented a comprehensive corporate compliance program. We are diligently working to remediate past issues and incorporate strong controls that allow us to move forward positively." He noted that the company has adopted established best practices related to durable medical equipment (DME), which enriches the foundation for a promising future.

The changes made since the new management took over in August 2025 are extensive and focused. Here are some key implementations:

Key Changes in Business Practices

1. Supplies Replenishment Practices: Zynex has completely redesigned its procedures for replenishing supplies. Now, the company mandates explicit and timely confirmation from patients before new supplies are allotted. This change ensures that only necessary supplies are dispatched, minimizing waste and ensuring better compliance.

2. Order Intake and Fulfillment: The company has developed new practices for order intake, which now operationalize medical necessity and payor requirements right from the initiation point. This strengthens the overall process and emphasizes the importance of accuracy in meeting medical guidelines.

3. Billing Practices Controls: New stringent controls have been implemented to halt billing practices that previously attempted to bypass payor requirements. This includes ensuring strict compliance with payor billing guidelines. With these practices in place, Zynex aims to stand firm against any malpractices.

4. Marketing Compliance Policies: New policies have been instituted to ensure that marketing activities are consistent with FDA standards and on-label requirements. This not only aligns Zynex with regulatory expectations but also augments the credibility of its products in the marketplace.

Looking Ahead

As Zynex moves forward, the company embraces a fresh landscape characterized by compliance, transparency, and integrity. In this transition, tools like AI legalese decoder can offer significant assistance by demystifying legal language and encouraging a clear understanding of compliance requirements. This ensures that businesses stay on the right side of the law while fostering a culture of ethical practices.

In summary, Zynex’s proactive stance, compliance-centric initiatives, and available resources such as AI-driven tools set a strong precedent for how businesses can adeptly navigate legal challenges without compromising on ethical standards or quality.

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