DOJ announces largest healthcare fraud operation 

The federal government has charged hundreds of individuals who were involved in healthcare fraud.

The Department of Justice announced the largest coordinated healthcare fraud effort in its history, unveiling charges against 324 defendants involved in healthcare fraud schemes totaling about $14.6 billion in false claims submitted to Medicare, Medicaid, and other healthcare programs.

The big picture: Centers for Medicare and Medicaid Services (CMS) Administrator Dr. Mehmet Oz participated in a news conference with DOJ, FBI, and DEA officials. Dr. Oz highlighted that organized syndicates, rather than small-time operators, are behind these fraudulent activities, aiming to harm America.

  • Dr. Oz emphasized that CMS, responsible for $1.7 trillion in disbursements, is a significant target for fraudsters who can exploit identifiers from seniors or Medicaid recipients to bypass existing protections.
  • To combat healthcare fraud more effectively, the CMS administrator announced the establishment of a CMS Fraud War Room to enhance monitoring and response capabilities.
  • FBI Deputy Director Dan Bongino asserted a strong stance against public corruption and the theft of public funds, affirming a zero-tolerance policy for bad actors who violate their oaths. The investigation impacted 50 federal districts and uncovered nearly $3 billion in false claims, along with the illegal distribution of over 15 million pills.

Go deeper: The FBI successfully seized $245 million linked to fraudulent activities and brought charges against 96 medical professionals out of the 324 defendants identified in the healthcare fraud takedown operation.

  • Bongino stressed the importance of tangible results, expressing determination to hold accountable those who engage in public theft or oath violations. The FBI’s actions underscore the commitment to defending the public’s interests and ensuring accountability in healthcare systems.
  • FBI Director Kash Patel commended the collaborative efforts of state and federal partners, highlighting the significant impact of the operation in preventing $15 billion in potential losses. 
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