Nearly 200 Charged In DOJ’s Major Healthcare Fraud Crackdown

The Department of Justice (DOJ) has unveiled charges against 193 individuals for their involvement in extensive healthcare fraud schemes, which resulted in $2.75 billion in intended losses and $1.6 billion in actual financial damage. Among those charged are 76 medical professionals, including doctors and nurse practitioners.

This announcement comes as part of the 2024 National Healthcare Fraud Enforcement Action, which targeted fraudulent activities across 32 federal districts. The investigation led to the seizure of over $231 million in assets, such as cash, luxury cars, and gold, underscoring the significant financial impact of these schemes.

Principal Deputy Assistant Attorney General Nicole M. Argentieri highlighted the widespread consequences of healthcare fraud. “Healthcare fraud affects every American,” she said. “It siphons off hard-earned tax dollars meant to provide care for the vulnerable and disabled. In doing so, it also raises the cost of care for all patients.”

The fraudulent schemes included a $900 million operation involving amniotic wound grafts, illegal distribution of Adderall and other stimulants, and over $90 million in fraud related to adulterated HIV medication. Additional schemes involved $146 million in fraudulent addiction treatments, $1.1 billion in telemedicine and laboratory fraud, and $450 million in various health care and opioid fraud.

One case involved mislabeled HIV medication, which led to a patient taking an antipsychotic drug and remaining unconscious for 24 hours. Another significant case saw seven individuals from Done Global, a telehealth company, accused of distributing Adderall without proper patient consultations. A nurse practitioner in Florida was found to have prescribed over 1.5 million pills without interacting with patients.

Argentieri emphasized the DOJ’s ongoing efforts to address healthcare fraud, stating, “The Criminal Division is committed to rooting out healthcare fraud, wherever it may be found.” She stressed the use of advanced tools and methods to identify and prosecute those involved in fraudulent activities, regardless of their position.

This enforcement action highlights the DOJ’s dedication to maintaining the integrity of the healthcare system and ensuring that taxpayer dollars are used for their intended purpose. By holding those responsible accountable, the DOJ aims to protect patients and the healthcare system from the harmful effects of fraud.