First Assistant U.S. Attorney Bill Essayli announced that federal officials arrested eight people – including three nurses, a chiropractor, and a psychologist – accused of several health care fraud schemes totaling $50 million from Medicare and other insurance companies throughout Southern California.
According to the U.S. Attorney’s Office, the arrests were conducted in coordination with an anti-fraud task force led by Vice President J.D. Vance.
Prosecutors allege that five of the cases involved hospice-care centers in Glendale, Artesia, Tarzana, and Simi Valley of Los Angeles (LA) County. The defendants allegedly submitted false claims to Medicare for patients who were not terminally ill and did not qualify for hospice services, according to CNN.
One defendant was arrested in Idaho, and another in LA, for allegedly defrauding a labor union’s health care plans, utilizing them for purported chiropractic services, USA Today reported.
Prosecutors revealed that another defendant accused of posing as a nurse and forging immigration medical documents was also arrested in LA.
During a news conference announcing the arrests, Essayli called California the “kingdom of fraud” and accused the state of failing to conduct proper vetting procedures when issuing hospice licenses.
“We are enforcing a zero-tolerance policy for criminals who defraud American taxpayers,” Essayli said in a statement announcing the charges.
Dr. Mehmet Oz, administrator for the Centers for Medicare & Medicaid Services, also shared that federal officials “took out” 221 hospices in the past 10 weeks.
“The Trump Administration — home to the biggest fraudsters on Earth — is trying to blame California for issues with THEIR federal programs,” California Gov. Gavin Newsom fired back on X, responding to a post by J.D. Vance announcing the arrests. “Glad to see the Feds finally taking seriously the fraud in the programs they themselves manage...only 15 months after Trump took office.”
In March, President Donald Trump issued an executive order establishing the task force to investigate allegations that federal funds assigned for social-welfare programs are being stolen in certain states.
