California Cracks Down on $267M Hospice Fraud Scheme

Attorney General Rob Bonta announces the takedown of a major fraud operation in Los Angeles County.

Apr. 10, 2026 at 12:00am

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An extreme close-up of a stack of medical documents and files lit by a harsh, direct camera flash, conceptually representing the uncovering of a major healthcare fraud scheme.A crackdown on a $267 million hospice fraud scheme in Los Angeles County exposes the need for tighter oversight in the healthcare industry.Los Angeles Today

California Attorney General Rob Bonta has announced the results of a major investigation into a $267 million hospice fraud scheme operating in Los Angeles County. The probe uncovered a complex network of fraudulent billing practices, kickbacks, and other illegal activities within the hospice care industry.

Why it matters

Hospice fraud not only deprives vulnerable patients of proper care, but also diverts critical healthcare funding away from legitimate providers. This crackdown sends a strong message that such egregious abuse of the system will not be tolerated.

The details

The investigation revealed that the fraud scheme involved a range of illegal tactics, including billing Medicare and Medicaid for hospice services that were not provided, offering kickbacks to patients and their families to enroll in hospice care, and falsifying patient records to justify unnecessary or excessive services.

  • The investigation was launched in 2024 by the California Department of Justice.
  • On April 10, 2026, Attorney General Rob Bonta announced the results of the probe.

The players

Rob Bonta

The Attorney General of California who announced the results of the hospice fraud investigation.

California Department of Justice

The state agency that conducted the two-year investigation into the $267 million hospice fraud scheme.

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What they’re saying

“Hospice fraud not only deprives vulnerable patients of proper care, but also diverts critical healthcare funding away from legitimate providers.”

— Rob Bonta, Attorney General of California

What’s next

The California Department of Justice will continue to pursue criminal charges against the individuals and organizations involved in the fraud scheme.

The takeaway

This case highlights the importance of rigorous oversight and enforcement to protect the integrity of the healthcare system and ensure that vulnerable patients receive the care they deserve.