Ohio auditor describes how widespread Medicaid fraud affects taxpayers
Lawrence Jones questions Ohio State Auditor Keith Faber about the widespread Medicaid fraud affecting taxpayers. Faber explains that big government programs like Medicaid, operating on a trust-based system, are easily exploited. He highlights disproportionate home healthcare utilization by the Somali community in Columbus, emphasizing that inadequate controls allow people to lie, steal, and cheat the system.
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A multimillion-dollar Medicaid fraud scheme intended to provide mental health services to children instead helped fund a fleet of luxury vehicles, federal authorities said Thursday, as the Justice Department unveiled a broader crackdown on fraud nationwide, including the FBI’s new “Most Wanted Fraudsters” list.
The case was among a series of prosecutions announced by the Department of Justice as officials rolled out what they described as an unprecedented federal-state effort to combat healthcare fraud, government program fraud and consumer scams that collectively involved more than $57 million in alleged losses.
“I think you’ll agree with me that some criminals have gotten so bold, so audacious as to defraud the government of tens of millions of dollars,” acting Attorney General Todd Blanche said during a news conference in Ohio, adding that the cases “should shock your conscience.”
According to prosecutors, four defendants in Ohio were charged in connection with an alleged behavioral health fraud scheme that generated more than $30 million in fraudulent Medicaid claims. The defendants allegedly operated behavioral health organizations that billed Medicaid for therapeutic services and psychotherapy provided to children and young adults attending summer camps, church groups and recreational programs.
I’M OHIO’S STATE AUDITOR — MEDICAID FRAUD IS NOT JUST A WASHINGTON PROBLEM
Acting Attorney General Todd Blanche speaks during a news conference about the Trump administration’s fraud crackdown as he’s flanked by federal and state officials in Ohio on Thursday, June 4, 2026. (WBNS via NNS)
Authorities allege the services were medically unnecessary or were not provided as represented. Prosecutors further claim that after one company lost its credentialing with the Ohio Department of Mental Health and Addiction Services, the defendants continued submitting claims through another entity.
As part of the investigation, authorities seized three bank accounts containing roughly $469,000 and 14 vehicles valued at approximately $800,000, including six Mercedes-Benz vehicles, a Bentley, a BMW, a Jaguar, a Maserati, two Land Rovers, a GMC and a McLaren.
Investigators seized 14 vehicles valued at approximately $800,000, including six Mercedes-Benz vehicles, a Bentley, a BMW, a Jaguar, a Maserati, two Land Rovers, a GMC and a McLaren in connection with one case. (Southern District of Ohio)
The Ohio case served as the centerpiece of a broader DOJ announcement that included new partnerships between federal and state agencies, expanded data-sharing efforts and the launch of the FBI’s new “Most Wanted Fraudsters” list.
“Thanks to Vice President JD Vance’s vision, he had an idea,” FBI Director Kash Patel said. “He said, ‘Hey, you guys have a top ten most wanted list for all gangbangers, terrorists, narco traffickers, murderers and rapists around the world. How about we have a top ten list for most wanted fraudsters?’”
The FBI’s new “Most Wanted Fraudsters” list is intended to help law enforcement locate and apprehend fugitives accused of large-scale fraud schemes. (FBI)
JD VANCE ANNOUNCES MULTI-STATE FRAUD TASK FORCE IN WAKE OF MINNESOTA SCANDAL
The list is live on the FBI website, Patel said, and includes individuals who have stolen tens of millions and billions of dollars to help law enforcement locate and apprehend fugitives accused of large-scale fraud schemes.
The department also announced charges against four defendants accused of fraudulently obtaining more than $1.4 million in COVID-19 Paycheck Protection Program loans.
Prosecutors allege the defendants submitted false information about business income and later sought loan forgiveness through fraudulent applications.
In a separate case, authorities announced charges and detention orders tied to an alleged international romance scam that prosecutors say defrauded more than 130 victims across the United States out of over $15 million.
According to court documents, suspects operating from Ghana allegedly used dating websites, social media platforms and artificial intelligence-driven video technology to create fictitious female personas and persuade victims — many of them older Americans — to send money through wire transfers.
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Authorities said assets seized during that investigation included a Lamborghini, a Tesla Cybertruck, a Mercedes-Benz and a BMW, with total assets valued at more than $3 million.
The Justice Department said Ohio’s efforts could serve as a model for future state-federal partnerships as the Trump administration expands its broader campaign to eliminate fraud, waste and abuse in government programs.