70 hospice and home health providers in Los Angeles were cut off from federal funding in one week after being flagged for fraud by Vice President JD Vance’s anti-fraud task force, with officials indicating that additional providers are likely to be flagged as the review widens. Early findings point to a broader network of activity than the initial suspensions suggest.
“As the task force to root out waste, fraud and abuse ramps up, we expect this number to grow exponentially.”
NEW: @VP's Task Force to Eliminate Fraud identified and suspended 70 hospice and home health providers flagged as high-risk fraudulent providers.
— Elizabeth Troutman Mitchell (@TheElizMitchell) March 25, 2026
“As the task force to root out waste, fraud and abuse ramps up its work, we expect this number to grow exponentially," a source…
As RedState previously reported, the GOP-led House Oversight Committee has now opened an investigation into what they describe as “rampant” hospice fraud in California under Gov. Gavin Newsom (D).
“Recent reporting has revealed alarming evidence of fraudulent activity in California’s hospice programs, including agencies overbilling Medicare and fraudulently enrolling beneficiaries without their knowledge.
The Committee is concerned your administration does not have sufficient internal controls to prevent and detect fraud… As a result, Americans across the country are paying for California’s rampant hospice fraud and vulnerable patients are being exploited.”
Lawmakers are requesting documents and internal communications tied to how those programs were monitored, including oversight controls and enforcement actions taken in response to earlier audit findings.
.@GOPoversight and I are investigating the disgusting and rampant Hospice fraud in California.
— Congressman John McGuire (@RepJohnMcGuire) March 24, 2026
Early reports indicate the Newsom administration knew about the fraud for years and continued to provide tax dollars to this fund.
Are the American people paying taxes or criminals?… pic.twitter.com/lF1jqUT26S
Federal officials flagged the providers based on billing patterns and enrollment activity tied to Medicare, focusing on irregular patient rosters, duplicate beneficiary enrollments, and overlapping administrative control across multiple agencies. The suspensions halt reimbursements while those providers are reviewed, cutting off federal funds during the investigation.
Newsom’s Hospice Fraud 'Crackdown' Collapses: 197 Agencies Registered to One Address
In Van Nuys, 197 hospice agencies were tied to a single address through state licensing records, and the site did not resemble a functioning medical operation, with no visible patient care, no steady staff presence, and contact information that often led nowhere.
Broader reporting found hundreds of hospice providers across Los Angeles County sharing overlapping addresses, administrators, and billing patterns, showing overlapping control across providers rather than isolated abuse. The administration says the suspensions are targeting those same networks.
“Vice President Vance looks forward to carrying out the President’s War on Fraud. The American people deserve better than being ripped off… and the Task Force to Eliminate Fraud will ensure that essential taxpayer-funded services are used to support the hard-working Americans who rely on them, instead of being used by fraudsters and criminals.”
California officials point to earlier enforcement efforts, including a licensing moratorium and a state-level task force, saying hundreds of licenses have been revoked and additional providers remain under investigation.
“The California Department of Public Health facilitates a multi-department and multi-agency Hospice Fraud Task Force… This work is delivering results, as more than 280 hospice licenses have been revoked over the past two years and an additional 300 providers are under investigation.”
70 providers were frozen in one week. But how many more are to go?
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