The U.S. Department of Justice has revealed the most extensive health care fraud crackdown ever, charging 324 individuals—including 96 licensed medical practitioners—across 50 federal districts and 12 state attorney general offices for schemes amounting to more than $14.6 billion in suspected fraud. This operation, which commenced on June 30, 2025, marks an extraordinary initiative to combat health care fraud that has depleted taxpayer resources and endangered the well-being of at-risk patients.
A Nationwide Operation Against Health Care Fraud
The extensive enforcement operation led to the confiscation of more than $245 million in assets, which included luxury vehicles, cryptocurrency, and millions in cash. Alongside the criminal charges, the Centers for Medicare and Medicaid Services (CMS) revealed that they successfully thwarted over $4 billion in fraudulent claims from being disbursed, while also suspending or revoking the billing privileges of 205 healthcare providers.
This collaborative effort, known as the 2025 National Health Care Fraud Takedown, involved the Criminal Division of the Department of Justice, U.S. Attorneys’ Offices, the Office of Inspector General for the Department of Health and Human Services (HHS-OIG), the FBI, and the Drug Enforcement Administration (DEA), in addition to various state and federal law enforcement agencies. The defendants are facing charges related to fraudulent activities, including false billing for unnecessary medical treatments, illegal kickbacks, and the distribution of controlled substances.
Attorney General Pamela Bondi declared, “This record-setting Health Care Fraud Takedown delivers justice to criminal actors who prey upon our most vulnerable citizens and steal from hardworking American taxpayers. This administration will not tolerate criminals who endanger the safety of our communities for personal gain.”
A Global Health Care Fraud Epidemic
Some of the most notable cases involve transnational criminal organizations that exploited the U.S. health care system for massive profit. One such case, “Operation Gold Rush,” targeted a global network that allegedly submitted over $12 billion in fraudulent claims. These claims primarily involved the submission of false bills for urinary catheters and other durable medical equipment using the stolen identities of over one million Americans.
By utilizing advanced data analysis and global collaboration, law enforcement officials captured multiple suspects, including 19 people from both the U.S. and Estonia, who faced charges for filing billions in fraudulent claims. The inquiry also revealed unlawful money laundering schemes that channeled the illegal profits via cryptocurrency and shell corporations.
“These schemes not only steal taxpayer money but also endanger the health of countless Americans,” said FBI Director Kash Patel. “Today’s takedown is a testament to our commitment to holding accountable those who exploit the system.”
Prescription Opioid and Telemedicine Frauds
The operation also tackled extensive fraud associated with prescription opioids, resulting in charges against 74 defendants, including 44 licensed medical professionals, for their involvement in the unlawful diversion of over 15 million opioid pills. One particularly concerning case involved a Texas pharmacy that unlawfully distributed more than 3 million opioid pills, exacerbating the nation’s persistent opioid crisis.
Telemedicine fraud also surfaced as a major concern. The Department of Justice charged 49 individuals for their roles in submitting fraudulent claims related to telemedicine services and genetic testing, with more than $1.17 billion in fraudulent claims filed through misleading telemarketing strategies. CMS’s real-time monitoring system played a crucial role in preventing the disbursement of many of these fraudulent claims, yet $900 million in payments were still made before fraud was detected.
Wound Care and Addiction Treatment Scams
In a different investigation, seven people faced charges related to a fraudulent wound care scheme that defrauded Medicare and Medicaid of over $1.1 billion for unnecessary treatments. The accused reportedly targeted vulnerable elderly patients, including those receiving hospice care, and applied medically unnecessary amniotic allografts to their wounds.
In another case, the exploitation of individuals battling addiction came to light. A defendant from Pakistan and the UAE was charged with running a $650 million scheme to fraudulently bill Arizona Medicaid for substance abuse treatment services. Many of the services billed were either of poor quality or never delivered at all. The defendant allegedly laundered the illicit proceeds to acquire luxury property overseas.
“This historic takedown proves that we will continue to hold health care fraudsters accountable, no matter how complex or widespread their operations are,” said Matthew R. Galeotti, head of the Justice Department’s Criminal Division.
The following materials related to today’s announcement are available on the Health Care Fraud Unit’s website through these links:
An indictment, information, or complaint is merely an allegation. All defendants are presumed innocent until proven guilty beyond a reasonable doubt in a court of law.
Updated June 30, 2025
