DOJ unveils West Coast ‘Strike Force’ as new tactic used to tackle healthcare fraud
As part of President Donald Trump’s focus on mitigating healthcare fraud nationwide, the U.S. Department of Justice (DOJ) announced on Thursday that it was forming a new task force for the West Coast.
Dubbed the “West Coast Health Care Fraud Strike Force,” the new organization will operate as part of the National Fraud Enforcement Division of the DOJ. Its focus will be entirely on putting an end to incidents of fraud, waste and abuse happening in Arizona, Nevada and California, the agency said in a statement.
Federal authorities said this Strike Force model has “proven to be one of the most powerful tools” it has to bring healthcare-related scams to an end. To date, the DOJ credits these divisions with the prosecutions of over 6,200 defendants nationwide, who are collectively responsible for stealing more than $45 billion from government health programs and private insurers.
“Driven by data showing a significant and accelerating increase in healthcare fraud across all three districts, the Strike Force builds on a foundation of recent landmark prosecutions—including the successful prosecution of digital health technology executives in the Northern District of California and the dismantling of Medicaid, sober home, and wound care fraud schemes in the District of Arizona,” Assistant Attorney General Colin McDonald of the Justice Department’s Fraud Division said.
“The Fraud Division is committed to bringing that same relentless, data-driven prosecutorial force to bear across every corner of this region, making unmistakably clear that no scheme is too sophisticated, no network too large or small, and no fraudster too distant to escape federal accountability,” he added.
Silicon Valley a primary target of investigators
In its announcement, the DOJ clarified that its new West Coast unit would be largely focusing on Northern California, as opposed to the rest of the state. The agency argues that this part of the state, given the number of technology startups, has been a hotbed for fraudulent activity.
“Silicon Valley has become ground zero for technology-driven healthcare fraud schemes that seek to cheat taxpayer-funded programs like Medicare,” Craig H. Missakian, U.S. Attorney for the Northern District of California, stated, adding that the Health Care Strike Force will constitute “a powerful partnership that brings together the resources and expertise needed to detect and dismantle even the most sophisticated fraud schemes.”
As for what entities are part of that partnership, the DOJ says it’s the Department of Health and Human Services' Office of Inspector General (HHS-OIG), the Federal Bureau of Investigation (FBI), the Drug Enforcement Administration (DEA), and state law enforcement agencies.
“With each indictment and conviction, we are achieving justice for victims who were taken advantage of by these fraudsters,” First Assistant U.S. Attorney Sigal Chattah for the District of Nevada said. “We are proud to be part of the newly created West Coast Health Care Fraud Strike Force and we are committed to bringing our skill and expertise to the DOJ’s fight against fraud.”
The initial Strike Force posture was revealed in April, with the full backing of HHS Secretary Robert F. Kennedy Jr. and CMS Administrator Mehmet Oz, MD.
That said, the enforcement model was in place before the announcement, given that many of the high-profile prosecutions the DOJ highlighted in its announcement happened last year.
Chad is an award-winning writer and editor with over 15 years of experience working in media. He has a decade-long professional background in healthcare, working as a writer and in public relations.