California is facing a staggering healthcare fraud crisis, with an estimated $3.5 billion lost to fraudulent hospice and home health care schemes, primarily concentrated in Los Angeles County. Investigators have uncovered a network of fake businesses operating in strip malls and vacant lots, billing Medicare for services that were never provided. The situation has drawn attention from federal officials, who are now demanding accountability and comprehensive action from Governor Gavin Newsom amidst claims of negligence and systemic corruption within the state’s healthcare system.
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