As Fox News reports, 15 people are in custody after federal authorities conducted predawn raids across Southern California arresting suspected fraudsters, including six medical professionals. The suspects are accused of stealing nearly $2 billion through sham substance abuse programs, unnecessary surgeries and phony hospice care.
One duo of fraudsters was chiropractor Hany Malek and cardiothoracic surgeon Dr. Harold Tabaie. Malek pretended to be a medical doctor, diagnosing patients with arterial disease (even though they didn't) and sending them to Tabaie for atherectomies, who sometimes performed the procedure on patients repeatedly.
Authorities say some of the medical procedures inflicted severe pain and discomfort to several patients.
Meanwhile, a federal fraud official revealed the uncovered sober home fraud scheme is the largest one the DOJ has ever prosecuted.
"Our message is simple: if you steal health care dollars from the American taxpayer or abuse your position to harm patients, we are coming for you — and the data will lead us to you," said DOJ Assistant Attorney General Colin M. McDonald.
Kevin McGary, chairman of the Frederick Douglas Foundation of California, is pleased with the fraud shutdowns in California.
"I think it's an excellent step. I think that the fraudsters, as a result of this, will continue to be identified and dealt with, hopefully harshly," McGary states.
There is also a special incentive for citizens to report suspected scams, he says.
"I think it's an excellent step that President Trump brought forth a couple of days ago, saying that… if you help turn in or help identify any federal fraudsters, you're entitled to a 1% remediation. You actually could get a reward up to 1% of the fraud that you turn in," McGary explains. "If I, as a citizen anywhere in the country, found a $10 billion fraud ring, 1% of that is a nice bag."
President Donald Trump announced the Fraud Whistleblower Incentive Program last Tuesday to compensate those who report defrauding of the U.S. government, reports CBS News.
