A national franchiser of home oxygen equipment, three affiliates and two executives will pay $5 million to settle allegations they schemed to defraud Medicare by filing false claims for their devices.

The Justice Department said Wednesday the settlement resolves allegations against Home Americair of California, based in Newport Beach; its billing company, Home Americair Inc.; two of its franchises, Florida Homecair Inc. of Melbourne, Fla., and Bates East Corp. of King of Prussia, Pa.; Thomas E. Frank, owner and president of Home Americair of California and its billing company; and Cynthia M. Bates, an owner of the Bates East franchise.