California files felony charges against 21 people in alleged $267m hospice fraud scheme

Trending 1 month ago

California authorities person filed felony charges against 21 people, who they opportunity orchestrated a hospice fraud strategy that costs nan authorities $267m, nan state’s lawyer general, Rob Bonta, announced connected Thursday.

The suspects allegedly bought individual identifying accusation for non-California residents from nan acheronian web and utilized nan stolen identities to enroll successful Medi-Cal, a authorities programme that gives low-income residents free aliases low-cost wellness care.

State officials accused nan individuals of purchasing 14 hospice companies and billing Medi-Cal for nonexistent hospice services.

“The alleged patients were healthy, retired of authorities and wholly unaware that they had been enrolled successful hospice care,” Bonta said successful a Thursday property conference. “This was a brazen, calculated criminal strategy that exploited nan Medi-Cal system.”

The 21 individuals are facing healthcare fraud, money laundering and personality theft charges, which transportation imaginable situation sentences ranging from 10 to 16 years.

So far, $30m has been recovered and 5 suspects person been arrested successful confederate California, according to Bonta.

Government fraud has been a hot-button governmental issue, peculiarly among Republicans, who person sought to represent bluish states arsenic apathetic to nan issue.

In December, Donald Trump cited a kid use fraud scandal successful Minnesota arsenic portion of his administration’s reasoning for fierce migration raids successful nan state. Several suspects successful nan alleged fraud strategy belonged to nan state’s Somali diaspora.

Last week, successful a societal media post, Trump singled retired different Democratic-led states including California, Illinois, New York and Maine arsenic places wherever location is an “unprecedented theft of payer money”, though he did not connection grounds to substantiate nan claim.

“Raids person already started successful L.A.,” Trump wrote. The time earlier his post, nan California section of justness had announced nan apprehension of 8 individuals successful abstracted healthcare fraud cases.

At nan Thursday property conference, Bonta addressed nan ongoing discourse.

“While healthcare fraud mightiness beryllium President Trump’s shiny caller governmental talking point. [The] California [department of justice] has been going aft healthcare fraud since 1979 – for decades. Trump is precocious to nan party,” he said.

More
Source theguardian.com
theguardian.com