WASHINGTON — Vice President JD Vance on Wednesday announced new steps in the Trump administration’s initiative to root out fraud in federal health programs, including a $1.3 billion deferral in Medicaid reimbursements to California.
“These fraudulent health care providers are getting rich by giving people medications they don’t even need,” Vance said during an event at the White House, adding that taxpayers and program beneficiaries are victimized by such fraud.
Medicare halts enrollment of new hospice, home health providers
The Republican administration also is imposing a six-month freeze on some new Medicare enrollments and warning states to investigate Medicaid fraud or risk losing funding, officials said.
The moves are part of Vance’s anti-fraud task force, which has been accelerating its messaging before the November elections. The panel set up by President…
MANAGEMENT & CULTURE (THE “TONE AT THE TOP”)
Fraud thrives in “sloppy” environments where leadership ignores the rules.
- The Fraud Triangle: For fraud to occur, three elements must be present: Pressure (the need for money), Rationalization (thinking “I deserve this”), and Opportunity (weak controls). You can only control the Opportunity.
- Whistleblower Hotline: Provide an anonymous way for staff to report “odd behavior.” Most internal frauds are caught via tips, not audits.
- Background Checks: Conduct credit and criminal record checks for all employees in financial or data-sensitive roles.
- Annual Ethics Training: Make sure every staff member knows that the company has a Zero Tolerance policy toward “borrowing” from petty cash or fudging overtime.