California Gov. Gavin Newsom has filed a civil rights complaint with the U.S. Department of Health and Human Services against Dr. Mehmet Oz, CMS Administrator, over a video alleging massive healthcare fraud by Armenian community members in Los Angeles.
The video posted by Oz claimed that a four-block area in the Van Nuys neighborhood hosted 42 hospices, suggesting a hub for fraudulent activity.
Driving the news: Oz alleged that up to $3.5 billion in hospice and home care fraud had taken place in Los Angeles, with a significant portion purportedly run by the “Russian Armenian mafia.”
- He pointed out Armenian script on local business signs and referenced a $16 million fraud scheme involving a nearby business, while the video panned to an Armenian bakery.
The big picture: Newsom’s complaint accuses Oz of making “baseless and racially charged allegations,” claiming the remarks have already harmed business at the targeted bakery and could deter community participation in health programs.
- Newsom cited California’s own efforts to combat fraud, noting the state had revoked over 280 hospice licenses and banned new licenses since 2022.
