US Charges 193 Individuals in $2.7 Billion Healthcare Fraud Case

July 28, Washington, DC:
The Hill cited the Department of Justice as saying that over 200 individuals have been prosecuted in a nationwide operation that is looking into fraudulent health care claims that resulted in around USD 2.75 billion in damages.

The Department of Justice (DOJ) in 2024 launched its National Health Care Fraud Enforcement Action, charging 193 individuals in 32 federal districts. Among these defendants were 76 medical professionals, including doctors, nurse practitioners, and others with valid licenses to practice medicine.  a nationwide law enforcement operation resulted in the seizure of "over USD 231 million in cash, luxury vehicles, gold, and other assets".

"It does not matter if you are a trafficker in a drug cartel or a corporate executive or medical professional employed by a health care company if you profit from the unlawful distribution of controlled substances, you will be held accountable," the Attorney General said in a press release.

A digital technology business, five persons, and amniotic wound grafts were involved in a USD 900 million fraud conspiracy in Arizona, the DOJ said. The scheme involved the illegal trafficking of stimulants like Adderall and other similar medications.

According to The Hill, the Department of Justice has further allegations against corporate executives, including a USD 90 million fraud scheme involving the distribution of tainted and incorrectly labeled HIV medication, over USD 146 million in phony addiction treatment schemes, over USD 1.1 billion in telemedicine and laboratory fraud, and over USD 450 million in additional health care fraud and opioid schemes.

Agents from the Department of Homeland Security were pleased to be included in the joint probe, according to Secretary Alejandro Mayorkas. "Through this action, we in federal law enforcement send a clear and strong message -- that we will hold accountable those health care providers and prescribers who prey on their patients for profit and disregard the first rule of medical care: do no harm," a statement from Mayorkas said.