Los Angeles, California — A federal anti-fraud task force led by Vice President JD Vance has suspended hundreds of healthcare providers in Los Angeles over suspected fraudulent billing tied to end-of-life care services.
According to officials, 447 hospice providers and 23 home health agencies had their payments paused after being flagged for potentially defrauding federal healthcare programs of more than $600 million. Authorities identified Los Angeles as a major hotspot for hospice-related fraud.
The suspensions mark a sharp increase from earlier enforcement actions, with officials noting a significant expansion in investigations over recent weeks. The task force is using artificial intelligence tools to detect irregular billing patterns, replacing older manual review processes.
Federal authorities said the crackdown is part of a broader effort to protect taxpayer-funded programs such as Medicare and Medicaid. In addition to suspensions, the task force can audit providers, recover funds, and revoke billing privileges.
Recent enforcement actions also included arrests tied to an alleged $50 million healthcare fraud scheme involving sham palliative care services in California.
Republican officials have argued the issue stems from weak oversight at the state level, while investigations into suspected fraud are ongoing.
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