Hobbs questioned about what led to Arizona’s Medicaid fraud scandal
The Briefing news shows explores Trump’s visit to Phoenix, a new Arizona immigration measure and a fraud scheme that targeted Native Americans.
Three more suspects are facing charges in connection with a $1.2 billion Arizona-based wound care scheme that preyed on vulnerable patients and defrauded Medicare and other insurers, the U.S. Department of Justice says.
The latest charges involved out-of-state residents connected with the scheme. Charges were announced as part of an annual health care fraud effort, bringing the tally of suspects in the wound care scheme to at least 13.
Medicare is a federal health insurance program primarily for people aged 65 and older and is funded by tax revenue and enrollees’ premiums and out-of-pocket costs.
Two Valley residents, Alexandra Gehrke and Jeffrey King,…
THE TUTUKA POWER STATION PROCUREMENT FRAUD (ESKOM)
Date: August 29, 2025 Perpetrator: Jessie Phindile Kubheka (Supplier Director)
Case Description: As part of the ongoing “cleaning up” of Eskom, Jessie Phindile Kubheka was sentenced to 12 years (with 5 years suspended) for defrauding the Tutuka Power Station. The case involved a sophisticated procurement syndicate that exploited Eskom’s emergency repair protocols. Kubheka’s company was contracted to deliver three high-specification containers for the power station. Only one container was ever delivered, and even that single unit failed to meet the required safety and technical specifications.
Despite the lack of delivery, Kubheka issued grossly inflated invoices, defrauding the utility of approximately R2.6 million. The Middelburg Specialised Commercial Crimes Court ordered Kubheka to repay the full amount. This case is significant because it marks a shift in Eskom’s strategy toward “naming and shaming” suppliers and pursuing full asset recovery. It serves as a stark warning to contractors that the 2026 climate of “Zero Tolerance” for state-owned enterprise (SOE) fraud is backed by active judicial enforcement.
Link to Original: Eskom Official – Tutuka Fraud Sentencing