15 defendants charged in separate L.A.-area health care cases

Federal prosecutors announced separate health care cases involving 15 defendants, including six medical professionals, and said eight defendants were arrested on Oct. 22. The allegations span private insurance, Medicare and California’s Medi-Cal program, but the cases are not one established conspiracy.

The cases involve different defendants and charging documents, including indictments, complaints and informations. Prosecutors also identified a defendant who had pleaded guilty in a related case. The allegations remain unproven; the Justice Department says defendants are presumed innocent unless proven guilty.

Allegations range from billing to kickbacks i

In United States v. Young, four defendants are accused of billing private insurers more than $1.6 billion for purported substance-abuse treatment. Prosecutors allege patients were recruited and that some treatment was sham or was not provided.

In a separate Medicare case, two defendants are accused of billing for unnecessary atherectomy procedures. Prosecutors allege patients experienced pain and discomfort. The Justice Department gives two amounts for the alleged billing: $134 million in its summary and $135 million in its detailed account.

Three hospice cases involve more than $138 million in alleged Medicare claims for beneficiaries prosecutors say were not terminally ill. In one case, prosecutors allege some beneficiaries did not know they had been enrolled in hospice and that their legitimate medical care was disrupted.

In the Medi-Cal pharmacy case, prosecutors allege approximately $269.13 million in false prescription claims, of which the program paid at least approximately $178.746 million. The figures distinguish the amount prosecutors say was claimed from the smaller amount they say Medi-Cal paid; neither figure is a court-established loss. The defendant was charged by complaint in June 2026 and indicted in the Oct. 22 announcement.

Other cases involve alleged kickbacks tied to genetic-testing orders, patient referrals to a rehabilitation facility, and the sale of prescription-drug samples. The Justice Department cites more than $4.2 million and more than $1.3 million in alleged claims in two genetic-testing matters, with more than $2.8 million and more than $900,000 in reimbursements, respectively. In the referral-kickback matter, the defendant admitted the conduct in a plea agreement.

Why the headline totals are not a settled loss figure i

Do the dollar amounts show how much was proven lost? No. They describe allegations in individual cases, not amounts established by a court. The Justice Department’s release gives an overall figure of $2 billion in its headline and opening, while an FBI quote in the same release cites $1.8 billion in losses. The release does not reconcile those totals, and its atherectomy figures also differ. They should not be treated as a settled grand total.

The announcement records arrests and ongoing federal prosecutions, not a new health care program restriction or a repayment order. The U.S. Attorney’s Office said five arrestees were expected to make initial appearances that afternoon in federal court in Los Angeles, two in the Northern District of Texas and one in the Northern District of Illinois.