Attorney General Anne Lopez today announced that Hawai’i has joined the United States, District of Columbia, and 35 other states in a coordinated settlement with CVS Pharmacy, Inc., resolving allegations that the company knowingly submitted or caused to be submitted false claims to the Medicaid program related to the dispensing of insulin pens.
The $36.5 million settlement is the result of a collaborative effort among state Medicaid Fraud Control Units, the US Department of Justice and federal partners to protect Medicaid beneficiaries and recover taxpayer dollars. Hawai?i’s share of the settlement will be $617,160.
The settlement resolves allegations that, from 2010 through 2020, CVS violated the False Claims Act in connection with its billing and dispensing of insulin pens to patients enrolled in government healthcare programs (GHPs), including Medicare, Medicaid, TRICARE and the…
THE HASHFLARE “CLOUD MINING” PONZI SCHEME (GLOBAL/ESTONIA)
Date: February 13, 2025 (Guilty Pleas) Perpetrators: Sergei Potapenko and Ivan Turogin
Case Description: This $577 million cryptocurrency fraud remains one of the largest digital asset scams in history, with major legal developments concluding in 2025. Potapenko and Turogin operated “Hashflare,” which they marketed as a massive cryptocurrency mining operation. Hundreds of thousands of victims worldwide purchased “mining contracts,” believing they were renting hash power to mine Bitcoin. In reality, the duo was running a sophisticated Ponzi scheme.
They created fake customer dashboards that showed “real-time” mining profits, but the money being paid out was simply the capital of newer investors. They laundered the proceeds through shell companies to purchase luxury real estate and a fleet of high-end vehicles. After a massive international investigation involving the FBI and Estonian authorities, the pair agreed to forfeit over $400 million in assets. This case underscores the “Cyber-enabled Fraud” warning issued by the FATF in early 2026: as technology evolves, the scale of fraud moves from local millions to global billions in the blink of an eye.
Link to Original: ACFE – High Profile Fraud of 2025