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Vance's anti-fraud group suspends 447 Los Angeles hospices for alleged multimillion-dollar fraud

The actions in California come on top of other recent measures related to reining in healthcare spending.

Vance at the White House/ Oliver Contreras

Vance at the White House/ Oliver ContrerasAFP

Diane Hernández
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The anti-fraud task force linked to Vice President J.D. Vance has suspended 447 hospices and 23 home health care agencies in Los Angeles as part of an investigation into alleged healthcare fraud estimated to exceed $600 million, according to Fox News.

According to the report, the measures are part of a federal crackdown on possible irregularities in the health care system, particularly in programs linked to Medicare and Medicaid, coordinated with Centers for Medicare and Medicaid Services Administrator Mehmet Oz.

Increased suspensions

The article notes that suspensions allegedly increased by approximately 539% compared to a previous report that counted 70 cases in early April. A spokesman for the vice president's team stated that the objective of the operation is to recover allegedly diverted public funds.

"Where there is fraud, the task force will find it," said a spokesman quoted by Fox News, adding that the investigation will continue until it ensures the proper use of taxpayer money.

Likewise, a White House official warned that the investigations will continue to expand and that both the number of cases and the financial amount "are only going to increase."

Context of the investigation

The actions in California come on top of other recent measures related to controlling healthcare spending. The article also mentions the suspension of $259.5 million in Medicaid funds in Minnesota amidst increased federal scrutiny of potential fraud in state programs.

In parallel, the report links the situation to the political debate in California, where state lawmakers are discussing AB 2624, a bill pushed by Democratic Assemblywoman Mia Bonta.

The proposal has generated controversy, with critics such as Republican Assemblyman Carl DeMaio arguing that it could limit the work of investigative journalists by establishing new protections for certain immigrant support service providers.

Political and journalistic debate

The bill has been described by its supporters as a measure to protect workers and volunteers who might face threats because of their work. However, opponents argue that it could make it more difficult to expose possible cases of fraud in publicly funded organizations.

California Attorney General Rob Bonta has also been mentioned in the debate because of his family relationship with the bill's author.

Ongoing investigation

So far, no final court rulings have been filed in the above cases. The fraud figures and the number of suspended entities are part of an ongoing investigation, according to information released by Fox News Digital.

Federal authorities maintain that the inquiries will continue in different states and could expand in the coming weeks.

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