Literature Review
All posts tagged with “Regulatory News | Fraud & Abuse News.”
Attorney General Bonta dismantles Los Angeles hospice fraud ring responsible for $267 million in fraud, 21 charged
04/13/26 at 03:00 AMAttorney General Bonta dismantles Los Angeles hospice fraud ring responsible for $267 million in fraud, 21 charged Office of the Attorney General California Department of Justice - Rob Bonta, Los Angeles, CA; Press Release; 4/29/26 California Attorney General Rob Bonta, together with the California Department of Health Care Services (DHCS), today announced charges filed against 21 suspects and the dismantling of a major hospice fraud scheme that defrauded California of $267 million. Operation Skip Trace resulted in the arrest of five people after ten different locations were searched in Southern California. In addition, two handguns and over $757,000 in cash were seized. “This isn’t a political game for us. This is about protecting taxpayer dollars, protecting the programs that sick and vulnerable Californians rely on, and protecting our state,” said Attorney General Rob Bonta.
The most connected hospice doctor in California
04/10/26 at 03:00 AMThe most connected hospice doctor in California CBS News Investigations; by Laura Geller, Rachel Gold, Adam Yamaguchi and Grace Manthey; 4/7/26 Physicians who oversee hospice clinics deliver a critical and delicate form of care to patients confronting terminal illness with the goal of helping them find dignity and comfort at the end of life. No active physicians oversaw more of these cases in California, or were reimbursed with more taxpayer money, than Dr. Rajiv Bhuva, according to federal records. ... Bhuva's name was listed on reimbursements for at least 2,800 patients across 126 California hospices in 2024. ... While fraud in the hospice industry is a long-running and complex problem, the role of physicians – knowingly or unwittingly facilitating it – has largely gone overlooked.
LACo Board presses for stepped-up enforcement of hospice, home care fraud
04/09/26 at 03:00 AMLACo Board presses for stepped-up enforcement of hospice, home care fraud MyNewsLA.com; by Contributing Editor; 4/7/26 The county Board of Supervisors directed its staff Tuesday to develop recommendations aimed at improving coordination with other agencies to crack down on home health and hospice fraud. “Fraud in home health and hospice care is not just a financial crime — it is a direct threat to the health and safety of some of our most vulnerable residents,” Supervisor Lindsey P. Horvath said in a statement after the board’s unanimous vote.
Trump: JD Vance will be new fraud czar, focus on 'blue states'
04/08/26 at 03:00 AMTrump: JD Vance will be new fraud czar, focus on 'blue states' UPI (United Press International); by Lisa Hornung; 4/3/26 Vice President JD Vance is now the government's fraud czar, according to President Donald Trump, and he will focus on "blue states."
CMS ups hospice oversight: 5 things to know
04/07/26 at 03:00 AMCMS ups hospice oversight: 5 things to know Becker's Hospital Review; by Mariah Taylor; 4/3/26 CMS is implementing new oversight measures for hospice programs, which include an updated scoring system, state-specific oversight and changes to election statement addenda. The new scoring system is part of an effort to “strengthen oversight, improve transparency for patient families and ensure Medicare hospice benefits are not abused,” according to an April 2 agency news release. Here’s what to know:
8 arrested in health care fraud takedown, including owners of hospices that billed taxpayers millions of dollars to serve the ‘dying’
04/06/26 at 03:00 AM8 arrested in health care fraud takedown, including owners of hospices that billed taxpayers millions of dollars to serve the ‘dying’United States Attorney's Office - Central District of California, Los Angeles, CA; Press Release; 4/2/26More Than $50 Million in Intended Health Care Fraud Losses Charged In coordination with the Vice President’s Task Force to Eliminate Fraud, eight defendants, including three nurses, a chiropractor, and a purported psychologist, have been arrested on federal charges that they schemed to defraud the nation’s health care system out of more than $50 million – including by running sham hospice care facilities that bilked Medicare by using people without terminal illnesses as beneficiaries, the Justice Department announced today.Editor's Note: As coverage escalates—often with sensational framing—we are anchoring in the official U.S. Attorney’s press release. The allegations are serious and demand accountability, but do not reflect the broader hospice field. This is a moment for leaders to reinforce clear, disciplined narratives that distinguish fraud from the mission-driven care centered on dignity and what matters most.
Hospice where staggering 97% of terminal patients survive is accused of defrauding Medicare for $7.45 million
04/03/26 at 03:00 AMHospice where staggering 97% of terminal patients survive is accused of defrauding Medicare for $7.45 million CBS News Bay Area; by Adam Yamaguchi, Laura Geller, Rachel Gold; 4/2/26 The FBI arrested a married couple Thursday accused of fraudulently billing Medicare for $7.45 million while running a hospice with a survival rate reported to be more than 97% after five years. They were the first in a series of arrests planned Thursday, federal officials told CBS News. A high survival rate at a hospice provider is one of a series of red flags identified by state auditors for fraud because most people enter hospice care in the final stages of a terminal illness. In past cases of fraud, operators were found to be using false or stolen identities to collect federal reimbursements for palliative care. The targets of the early-morning operation were Gladwin and Amelou Gill, a doctor and psychologist who co-own 626 Hospice, which does business as St. Francis Palliative Care, according to the FBI.
Feds charge 15 in SoCal hospice fraud crackdown
04/03/26 at 02:00 AMFeds charge 15 in SoCal hospice fraud crackdown MyNewsLA.com, Los Angeles, CA; by Contributing Editor; 4/2/26 A Covina married couple — a psychologist and a registered nurse — were among 15 defendants facing federal charges Thursday in Los Angeles as part of a crackdown on health care fraud schemes such as sham hospice facilities that pay people without terminal illnesses to pose as dying Medicare beneficiaries. ... Three nurses, a chiropractor, and the Covina psychologist were among eight defendants recently arrested in the investigation local law enforcement dubbed “Operation Never Say Die.”
California targeted in House Committee investigation of hospice fraud
04/02/26 at 03:00 AMCalifornia targeted in House Committee investigation of hospice fraud
Hospice of Amador & Calaveras addresses statewide hospice fraud concerns, reaffirms commitment to ethical, community-based care
04/01/26 at 03:00 AMHospice of Amador & Calaveras addresses statewide hospice fraud concerns, reaffirms commitment to ethical, community-based careLedger News; Press Release; 3/30/26 In response to recent national media coverage highlighting concerns regarding hospice fraud in California, Hospice of Amador & Calaveras (HOAC) is reaffirming its commitment to ethical, transparent and compassionate care for patients and families across Amador and Calaveras counties. ... “Hospice care is built on trust, dignity and compassion,” said Samantha M. Lukow, Executive Director of Hospice of Amador & Calaveras. “While the reports are deeply concerning, it is important for our community to know that not all hospice providers operate in this manner. The vast majority of hospice organizations, including ours, are dedicated to providing ethical, patient-centered care.”
Documented California hospice fraud prompts broad ranging inquiry from national oversight and accountability organization
03/30/26 at 02:00 AMDocumented California hospice fraud prompts broad ranging inquiry from national oversight and accountability organization Empower Oversight - Whistleblowers & Research, Washington, DC; 3/26/26 Empower Oversight today pressed for comprehensive records from the California Department of Public Health (CDPH) related to hospice fraud and oversight failures across California — with a particular focus on Los Angeles County. The records request targets widespread regulatory failures in the county. The letter request spans five broad categories asking for:
‘No one is safe’ in CMS’ fraud fight
03/27/26 at 02:00 AM‘No one is safe’ in CMS’ fraud fight Hospice News; by Jim Parker; 3/25/26 The U.S. Centers for Medicare & Medicaid Services (CMS) is casting a wide net in its anti-fraud efforts, and some legitimate providers are finding themselves on the hook. ... CMS has pledged to crack down hard on fraudulent hospices, but to date some of their efforts lack transparency and could represent a threat to honest providers, according to Andrew Brenton, attorney with Husch Blackwell. “With the wide net that CMS is casting, certainly, good hospices are being caught up in that,” Brenton said at the Hospice News ELEVATE conference. “I think no one is really safe, because a lot of this is a black box; the methodology by which CMS chooses which hospices to audit or otherwise target for enforcement is kind of unknown.”
In fight against fraud, leading national organizations urge CMS to take action while protecting legitimate providers and patient access
03/26/26 at 03:00 AMIn fight against fraud, leading national organizations urge CMS to take action while protecting legitimate providers and patient access The National Alliance for Care at Home (the Alliance); Press Release; 3/25/26The National Alliance for Care at Home (the Alliance), LeadingAge, LeadingAge California, and the California Association for Health Services at Home (CAHSAH) in a March 25, 2026 letter to Dr. Mehmet Oz, Administrator, the Centers for Medicare and Medicaid Services (CMS), commend the agency’s actions to protect Medicare beneficiaries, preserve the integrity of the hospice and home health benefits, and root out bad actors who are exploiting the program and harming patients and families. At the same time, the associations emphasize the need for a carefully targeted federal response to protect current and prospective patients, and preserve access to care delivered by trustworthy providers.
NPHI calls on CMS to enact temporary nationwide moratorium on new hospice provider enrollments to stop fraudulent operators
03/26/26 at 02:00 AMNPHI calls on CMS to enact temporary nationwide moratorium on new hospice provider enrollments to stop fraudulent operators National Partnership for Healthcare and Hospice Innovation (NPHI), Washington, DC; Press Release; 3/25/26 The National Partnership for Healthcare and Hospice Innovation (NPHI), representing the nation’s leading nonprofit, mission-driven, safety-net, hospice and advanced illness care providers, is calling on the Centers for Medicare & Medicaid Services (CMS) to implement a temporary, nationwide moratorium on new hospice provider enrollments in response to the continued growth of fraudulent providers exploiting the Medicare hospice benefit. In a letter sent today to CMS Administrator Dr. Mehmet Oz and Deputy Administrator Kimberly Brandt, NPHI outlines concerns regarding the unchecked expansion of fraudulent hospice providers and the impact on patients, families, and the integrity of the Medicare program.
Larchmont woman sentenced to nearly 3 years in federal prison for her role in hospice and diagnostic testing fraud that conned Medicare
03/25/26 at 02:00 AMLarchmont woman sentenced to nearly 3 years in federal prison for her role in hospice and diagnostic testing fraud that conned Medicare United States Attorney's Office - Central District of California, Los Angeles, CA; Press Release; 3/24/26 A woman from the Larchmont area of Los Angeles was sentenced today to 35 months in federal prison for defrauding Medicare out of more than $14 million by submitting fraudulent claims for hospice care and diagnostic testing services that were either unnecessary or not provided at all. Sophia Shaklian, 38, was sentenced by United States District Judge Stanley Blumenfeld Jr., who also ordered her to pay $14,103,043 in restitution. Shaklian pleaded guilty in November 2025 to one count of health care fraud.
Oversight Committee launches investigation into rampant taxpayer fraud in California hospice programs
03/25/26 at 02:00 AMOversight Committee launches investigation into rampant taxpayer fraud in California hospice programs U.S. Committee on Oversight and Government Reform, Washington, DC; Press Release; 3/23/26Following alarming reports that California officials failed to properly safeguard federal funds, House Committee on Oversight and Government Reform Committee Chairman James Comer (R-Ky.) and Oversight Committee Republicans today launched an investigation into rampant taxpayer fraud in California’s hospice programs. In a letter to California Governor Gavin Newsom, the lawmakers emphasized that the Newsom administration has been aware of state audit reports of hospice fraud for at least four years but has failed to prevent or detect it and has enabled hospice providers to defraud the American taxpayer and exploit vulnerable patients. The Oversight Committee is now requesting documents and communications regarding California’s oversight and internal controls to detect and prevent fraud for its federally funded hospice programs.
15 hospices incorporated in a single day, in a single suite in Van Nuys
03/24/26 at 03:00 AM15 hospices incorporated in a single day, in a single suite in Van Nuys Daily Breeze; by Jason Henry; 3/22/26 A group operating out of a Friar Street office building in Van Nuys that advertises “virtual offices” incorporated 22 hospices and home care agencies in one year, including 15 hospices registered in one day to a single suite, according to an investigation by the Southern California News Group. The 15 hospices, all formed in “Suite 205” at 14545 Friar St., later collected $12.3 million from Medicare and Medi-Cal billings in 2023 and 2024, records showed. ... While operating out of the same building is permitted, hospices cannot use the same office, according to Sheila Clark, the president and CEO of California Hospice and Palliative Care. ... She’s been sounding the alarm about fraud risks in Los Angeles’ hospice industry for years now. ...However, these hospices seemingly bypassed that limitation by appending letters from “A” to “P” onto the suite number in official documentation.
Official statement from NPHI on recent hospice fraud media coverage and ongoing federal enforcement efforts
03/24/26 at 01:00 AMOfficial statement from NPHI on recent hospice fraud media coverage and ongoing federal enforcement efforts National Partnership for Healthcare and Hospice Innovation (NPHI); Press Release; 3/20/26 ... NPHI is actively engaged with federal leaders to advance targeted solutions that root out bad actors while safeguarding the integrity of the hospice benefit. It is important to underscore that these issues are not representative of the majority of hospice providers, who are focused every day on delivering high-quality, compassionate care to patients and families. Official Statement by Tom Koutsoumpas, Founder & CEO of NPHI: "... It’s important to be clear — this is not a failure of the hospice model of care. It is the result of a subset of providers exploiting the healthcare system, and that must stop. ..."Carole Fisher, President of NPHI, added: "“At its core, hospice care is about trust — trust from patients and families during some of the most vulnerable moments in their lives. That’s why NPHI is committed to supporting decisive action to address bad actors, while continuing to uphold and protect the high standards that define this field.”
Hospice organizations call for Medicare provider enrollment moratorium in California
03/23/26 at 01:30 AMHospice organizations call for Medicare provider enrollment moratorium in California Hospice News; by Jim Parker; 3/20/26 A coalition of hospice and home health industry stakeholders are calling for a statewide moratorium in California on provider enrollments due to widespread Medicare fraud. A key area of focus is the greater Los Angeles County area. The group of providers and associations has written to U.S. Centers for Medicare & Medicaid Services (CMS) Administrator Dr. Mehmet Oz saying that rampant fraud in the state requires federal intervention. The signatories on the letter included the Save Home Health Coalition, California Hospice and Palliative Care Association (CHAPCA) and Texas Association for Home Care and Hospice (TAHCH).
What the BrightSpring-Sevita deal means for large health care transactions
03/19/26 at 03:00 AMWhat the BrightSpring-Sevita deal means for large health care transactions Hospice News; by Jim Parker; 3/13/26 Though not a hospice transaction, the trajectory of BrightSpring Health Services’ (Nasdaq: BTSG) divestiture of its ResCare community living business could signal changes in the way the federal government approaches large health care deals. BrightSpring in January 2025 entered into a definitive agreement to sell ResCare Community Living to Sevita, a provider of home and community-based specialty health care, for $835 million in cash consideration. Closure of the transaction was delayed by a Federal Trade Commission (FTC) anti-trust complaint. The FTC later cleared the deal after reaching an agreement with Sevita, which required the company to sell 126 intermediate care facilities to reduce any anti-competitive impact of the acquisition. ...
Most newly enrolled California hospice agencies flagged for fraud, CMS says
03/19/26 at 02:00 AMMost newly enrolled California hospice agencies flagged for fraud, CMS says Washington Examiner; by Mia Cathell; 3/18/26 A top official at the Centers for Medicare & Medicaid Services informed Congress on Tuesday that federal investigators have stripped billing privileges from three-fifths of newly enrolled hospice agencies that have continued to pop up in California, a state long riddled with healthcare fraud. Of the remaining California-based hospice service providers that emerged over the past six months, 35% were flagged for corrective action, Kimberly Brandt, the chief operating officer of CMS, told the House Energy and Commerce Subcommittee on Oversight and Investigations.
CMS implements enhanced oversight for MAC MBI lookup tools
03/18/26 at 03:00 AMCMS implements enhanced oversight for MAC MBI lookup tools Hospice News; by Jim Parker; 3/17/26 ... In response to a rise in these fraudulent activities, CMS has strengthened oversight of Medicare Administrative Contractor (MAC) MBI lookup tools. The agency now monitors MBI searches against submitted claims using National Provider Identifiers (NPIs). Access to these tools may be revoked if providers conduct a high volume of lookups without submitting corresponding claims. This move by CMS is likely an important step in combatting fraud, according to Sheila Clark, president and CEO of the California Hospice and Palliative Care Association (CHAPCA).
Report: Over 40% of hospice centers in L.A. County ‘show multiple indicators’ of fraudulent activity
03/17/26 at 03:00 AMReport: Over 40% of hospice centers in L.A. County ‘show multiple indicators’ of fraudulent activity One America News; by Addie Davis; 3/13/26 Over 700 of the roughly 1,800 hospice agencies in Los Angeles County show multiple state identified indicators of fraud, according to an analysis by CBS News. A 2022 California state audit highlights a staggering 1,500% surge in hospice agencies since 2010. By 2019, Los Angeles County’s density of hospice centers reached six and a half times the national average relative to its elderly population — a saturation point linked to an estimated $105 million in Medicare overbilling, according to CBS News.
Hospice fraud explodes in California after state ‘crackdown’: 742 flagged providers, $105 million overbilled, and ghost offices
03/13/26 at 02:45 AMHospice fraud explodes in California after state ‘crackdown’: 742 flagged providers, $105 million overbilled, and ghost offices California Globe; by Megan Barth; 3/11/26 California investigative reporter Christian Hartsock, in collaboration with California State Assemblywoman Alexandra Macedo for the California Courier, released a breaking undercover investigation just days ago, exposing dozens of suspicious hospice and home healthcare agencies in Los Angeles. Their on-site visits revealed hundreds of companies registered to crumbling buildings with no ramps, no handicap parking, disconnected phones, and signs reading “Out to Lunch.” Hartsock’s footage highlights how over $3.5 billion in Medi-Cal fraud has been identified in Los Angeles County alone, with 31% of all U.S. hospices registered there despite only 2% of the nation’s aging seniors residing in the area.
Van Nuys address linked to nearly 200 hospice agencies, lawmaker says
03/13/26 at 02:30 AMVan Nuys address linked to nearly 200 hospice agencies, lawmaker says NBC Los Angeles-4, Los Angeles, CA; by City News Service; 3/11/26 A Van Nuys building is listed as the registered address for 197 hospice agencies, according to a state lawmaker who said Wednesday the discovery raises questions about oversight of California's hospice licensing system. Assemblywoman Alexandra Macedo, R-Tulare, said the agencies are registered at 14545 Friar St., where she said she visited the property after reviewing licensing records. ... The lawmaker said the situation highlights potential gaps in the state's oversight of hospice providers under Gov. Gavin Newsom's administration. In a statement to NBCLA, Newsom's office said the governor "cracked down on hospice fraud years." ... The statement did not comment on Macedo's findings at the Van Nuys building. NBCLA has also reached out to the Centers for Medicare and Medicaid Services for comment.
