RFK Jr. highlights rampant LA hospice fraud 'run by Russian mobsters'

RFK Jr. highlights rampant LA hospice fraud 'run by Russian mobsters'
Source: New York Post

Robert F. Kennedy Jr. highlighted the alleged rampant Los Angeles hospice fraud he said was "run by Russian mobsters" following the Post expose on hospice fraud in LA that's cost taxpayers more than $100 million.

During his recent appearance on the Bossticks podcast, the Secretary of Health and Human Services said "there's more hospice companies" in LA than in the "entire nation combined."

"They're mainly operated by Russian mobsters, and they claim to be taking care of people who are dying and charging the federal government in their homes," the HHS Secretary said. "So, it's home care."
"So they're providing nurses to somebody who is dying in their own home. And it's all fraudulent."

RFK Jr. then turned the podcast host's questions around and asked them if they knew "what the mortality rate is for these Russian hospices in Los Angeles?"

Answering his own question, the HHS Secretary then made the jaw-dropping claim that these hospices "have a hundred percent survival rate."

"Nobody ever dies. So they're in hospice, they're just built eternally, and they're, the people don't actually exist," RFK Jr. said. "They, you know, they're just patient IDs that they've stolen."

The shocking comments by the HHS secretary comes following reports that the state of California is being investigated by the House Oversight Committee over alleged hospice fraud.

The investigation comes off the back of the Post's revelations that multiple "ghost" hospices were allegedly billing the government while operating from buildings that have been abandoned for years.

The secret network included empty storefronts, auto parts shops and other offices that were not in use, while other addresses did not exist at all.

The Republican-led House Oversight Committee demanded all documents and communications relating to audits and oversight of federally-funded hospice programs be handed over.

Chair James Comer (R-Ky.) sent a damning letter to Governor Gavin Newsom, claiming the state has a "well-documented history of fraud in its hospice programs" and estimated the total amount at over $105 million.

The letter said: "Recent reporting has revealed alarming evidence of fraudulent activity in California's hospice programs, including agencies overbilling Medicare and fraudulently enrolling beneficiaries without their knowledge."
It added: "The Committee is concerned your administration does not have sufficient internal controls to prevent and detect fraud and is not conducting proper oversight of these hospice programs."
"As a result, Americans across the country are paying for California's rampant hospice fraud and vulnerable patients are being exploited."

The committee said its auditors estimate LA County hospice providers overbilled Medicare by at least $105 million in a single year, adding it had seen a 1,500% increase in registrations since 2010 -- resulting in more than 2,800 providers across the state.

Newsom came out swinging after the investigation was announced, claiming a moratorium he imposed in 2021 stopped "bad actors" entering the system.

"In 2021, Governor Gavin Newsom signed legislation placing a moratorium on new hospice licenses - a policy that remains in effect today, preventing bad actors from entering the system while strengthening oversight of existing providers," a spokesman said.
"This work is delivering results, as more than 280 hospice licenses have been revoked over the past two years and an additional 300 providers are under investigation."
"The state continues to take coordinated action to suspend Medi-Cal payments, revoke licenses, and pursue prosecutions."

The House committee has asked Newsom to provide records related to anti-fraud practices, audits, Medicare billing and other information by April 6.