J.D. Vance Announces Suspension of $1.3 Billion in Medicaid Payments to California

Vice President J.D. Vance certainly has been busy as America’s “Fraud Czar.”

Medicaid fraud in California is rampant, and as my colleague Mary Chastain noted in March, Vance’s anti-fraud task force suspended 70 hospice and home health care businesses in Los Angeles.

The move came shortly after investigations by CBS News and Nick Shirley revealed a fraud scheme in California involving hospices.

Vance’s task has then suspended over 400 more.

Now the Vice President has announced on Wednesday that the Trump administration is withholding $1.3 billion in Medicaid payments to California and is threatening to suspend federal funding to all states if they don’t aggressively prosecute fraud in their Medicaid programs.

“There are California taxpayers and American taxpayers who are being defrauded because California isn’t taking its program seriously, but also you have people who have been prescribed medications that they don’t even need. They’ve had drugs put into their bodies that they don’t need because fraudsters have actually encouraged false prescriptions and false administration of medications,” Vance said at the White House.

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