This is an unmitigated win for the taxpayers: On Monday, the Justice Department announced the filing of charges against 324 defendants in a massive healthcare fraud bust, involving $14.6 billion in false claims. Yes, that's a "billion," as in a "B" followed by "illion."
🔥NEW — DOJ announces charges against 324 DEFENDANTS for "HEALTHCARE FRAUD SCHEMES!"
— Townhall.com (@townhallcom) June 30, 2025
This move covers "$14.6 BILLION in false claims."
GOOD! pic.twitter.com/g3kPTSUhku
The announcement, from the DOJ's Matthew R. Galeotti, states:
We are announcing today charges against 324 defendants for their alleged participation in healthcare fraud schemes involving approximately $14. 6 billion in false claims submitted to Medicare, Medicaid, and other healthcare programs. In a takedown this large, I can't possibly describe all of the work that went into dismantling each scheme.
You can see all of the specifics in a DOJ press release here. Some highlights:
Demonstrating the significant return on investment that results from health care fraud enforcement efforts, the government seized over $245 million in cash, luxury vehicles, cryptocurrency, and other assets as part of the coordinated enforcement efforts. As part of the whole-of-government approach to combating health care fraud announced today, the Centers for Medicare and Medicaid Services (CMS) also announced that it successfully prevented over $4 billion from being paid in response to false and fraudulent claims and that it suspended or revoked the billing privileges of 205 providers in the months leading up to the Takedown. Civil charges against 20 defendants for $14.2 million in alleged fraud, as well as civil settlements with 106 defendants totaling $34.3 million, were also announced as part of the Takedown.
Medicare and Medicaid fraud are big problems; in my previous career, for a time, I had a piece of a small manufacturing outfit that also ran a leasing operation for durable medical devices (beds, etc.), and we regularly heard news of people being busted for small-scale fraud.
This was not small-scale. And not all of the perps were here in the USA.
Finally, a defendant based in Pakistan and the United Arab Emirates who owned a billing company allegedly orchestrated a scheme to prey upon vulnerable individuals in need of addiction treatment by conspiring with treatment center owners to fraudulently bill Arizona Medicaid approximately $650 million for substance abuse treatment services. According to court documents, some of the services billed were never provided, while other services were provided at a level that was so substandard that it failed to serve any treatment purpose.
This certainly is a feather in the cap of everyone involved.
Over the years, since the inception of Medicare and Medicaid, fraud has been rampant. Some of the perps are caught, and today we see a pretty enormous bust. But many more never are, and in the process, the taxpayers are soaked for billions. Estimates of the amount of fraud in the Medicare system alone range from $50 billion to $100 billion per year. This $14.6 billion bust is significant, but there's a lot more crooked activity to be rooted out of this system.
For today, though, we'll take the win.
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