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Tags: trump admin | california | fraud | jd vance | task force | hospice

Trump Task Force Suspends 450 L.A. Hospices in Fraud Crackdown

By    |   Wednesday, 15 April 2026 02:47 PM EDT

The Trump administration's anti-fraud task force reportedly has suspended nearly 450 hospices in Los Angeles in what officials are calling a major crackdown on widespread abuse of taxpayer-funded healthcare programs.

The task force, led by Vice President JD Vance, issued suspensions against 447 hospice providers and 23 home health agencies suspected of fraudulently billing federal programs, pausing payments tied to more than $600 million in questionable claims.

"Where there is fraud, the task force will find it," a Vance spokesperson said, the Washington Examiner reported Wednesday.

The sweeping action represents a dramatic escalation in enforcement, with suspensions jumping more than 500% from earlier this month.

Officials say the initiative is part of a broader "war on fraud" launched by the Trump administration to root out abuse in Medicare and Medicaid systems.

Authorities have increasingly focused on Los Angeles, long identified as a hot spot for hospice fraud.

Investigators say some providers billed for end-of-life services for patients who were not terminally ill, or in some cases were unaware they had been enrolled.

The crackdown follows a series of arrests and criminal cases tied to fraudulent schemes in California.

In one case detailed by state officials, suspects allegedly used stolen identities to enroll individuals in Medi-Cal and bill hundreds of millions of dollars for bogus hospice services.

Despite mounting evidence, Republicans argue California's Democratic leadership failed to act quickly enough to stop the abuse.

House Oversight Committee Chairman James Comer, R-Ky., and other lawmakers have launched a probe into what they describe as years of insufficient oversight by Democrat Gov. Gavin Newsom's administration.

"Americans across the country are paying for California's rampant hospice fraud and vulnerable patients are being exploited," lawmakers wrote in a letter to the governor, citing reports that the state had been aware of warning signs for years.

A state audit previously found a massive surge in hospice providers in Los Angeles County — increasing by more than 1,500% over the past decade — along with millions in suspected overbilling.

Federal estimates suggest total fraud in the region could reach into the billions.

The Trump administration has credited new technology, including artificial intelligence-driven detection systems, with enabling faster identification of suspicious billing patterns.

Unlike previous approaches that relied heavily on manual reviews, the new system flags high-risk providers more efficiently.

In addition to suspensions, the task force has the authority to audit providers, demand repayments, and permanently bar bad actors from federal healthcare programs.

Officials say the message is clear: Fraud will not be tolerated.

The aggressive enforcement effort is part of a broader push by the administration to safeguard taxpayer dollars and restore integrity to government programs, particularly those intended to serve vulnerable patients at the end of life.

Charlie McCarthy

Charlie McCarthy, a writer/editor at Newsmax, has nearly 40 years of experience covering news, sports, and politics.

© 2026 Newsmax. All rights reserved.


US
The Trump administration's anti-fraud task force reportedly has suspended nearly 450 hospices in Los Angeles in what officials are calling a major crackdown on widespread abuse of taxpayer-funded healthcare programs.
trump admin, california, fraud, jd vance, task force, hospice
450
2026-47-15
Wednesday, 15 April 2026 02:47 PM
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