Overview
- At a Los Angeles news conference, federal officials said they are investigating suspected large-scale healthcare fraud in California with a focus on hospice enrollment.
- CMS Administrator Dr. Mehmet Oz cited a sevenfold rise in hospice enrollment in Los Angeles County and said the county accounts for 18% of U.S. home-health billing and about $3.5 billion in related spending.
- Dr. Oz alleged involvement by foreign-influenced criminal networks, roughly “100 bad doctors,” and the misuse of about 100,000 Medicare numbers.
- First Assistant U.S. Attorney Bill Essayli said the FBI and the Department of Health and Human Services are participating, compared the scope to Minnesota’s scandal as smaller, and declined to share details from active probes.
- Gov. Gavin Newsom’s office pushed back by pointing to efforts that it says blocked over $125 billion in fraud, as the announcement coincided with California’s legal fight over a federal funding freeze and a judge’s order temporarily keeping child-care funds flowing.