Massive Medicare Fraud Scheme Linked to 87-Year-Old Doctor

Agencies tied to physician's provider number billed nearly $600 million over 4 years

Mar. 14, 2026 at 4:05am

Got story updates? Submit your updates here. ›

Multiple home healthcare agencies operating out of a single address in Van Nuys, California billed Medicare over $40 million using the provider number of 87-year-old Dr. Gilbert Faustina, who says he has no knowledge of most of them. Between 2021 and 2024, home health agencies linked to Faustina billed nearly $600 million to Medicare, including $210 million in 2024 alone - a 124% increase from 2021, with 95% of those payments concentrated in Los Angeles County.

Why it matters

This case highlights the rampant Medicare fraud plaguing the Los Angeles area, where over 550 home health agencies and 250 hospices are registered at the same handful of addresses - a clear sign of fraudulent activity. The scale of the billing tied to Faustina's provider number, despite his limited involvement, raises serious questions about the oversight mechanisms in place to combat such large-scale fraud.

The details

Federal records show that between 2021 and 2024, home health agencies linked to Dr. Gilbert Faustina billed nearly $600 million to Medicare, including $210 million in 2024 alone - a 124% increase from 2021. The beneficiary patient count tripled over the same period, jumping from 9,693 in 2021 to 29,527. Faustina, an 87-year-old doctor, says he reviewed about 10-15 charts per month for $3,000, but was not involved in the billing. Experts say this is a common 'shell game' tactic used by fraudulent operators to avoid scrutiny.

  • Between 2021 and 2024, home health agencies linked to Dr. Faustina billed nearly $600 million to Medicare.
  • In 2024 alone, these agencies billed $210 million, a 124% increase from 2021.
  • The beneficiary patient count tripled from 9,693 in 2021 to 29,527 over the same period.

The players

Dr. Gilbert Faustina

An 87-year-old doctor whose provider number was used by multiple home healthcare agencies to bill Medicare for nearly $600 million between 2021 and 2024, despite his limited involvement.

Dr. Ira Byock

A national expert on home healthcare and the author of several books, who explained the 'shell game' tactic used by fraudulent operators to avoid scrutiny.

Dr. Mehmet Oz

The head of the Centers for Medicare and Medicaid Services, who questioned how 18% of the country's home healthcare billing could be coming from Los Angeles County.

Congresswoman Claudia Tenney

A New York representative who wrote to Dr. Oz requesting a formal investigation into providers linked to Dr. Faustina's provider number.

Got photos? Submit your photos here. ›

What they’re saying

“This isn't a mistake. This is a strategy on the part of these bad actors to avoid scrutiny.”

— Dr. Ira Byock, National expert on home healthcare (Fox News)

“Eighteen percent of the whole country's home healthcare billing is coming out of Los Angeles County. How is that possible?”

— Dr. Mehmet Oz, Head of the Centers for Medicare and Medicaid Services (Fox News)

What’s next

Congresswoman Claudia Tenney has requested a formal investigation by the Centers for Medicare and Medicaid Services into the providers linked to Dr. Faustina's provider number.

The takeaway

This case highlights the deeply embedded fraud infrastructure in the Los Angeles healthcare system, where hundreds of home health agencies and hospices are registered at the same handful of addresses. It underscores the urgent need for stronger oversight and accountability measures to combat the rampant Medicare fraud plaguing the region.