The Department of Justice has announced the largest healthcare fraud bust in U.S. history. A total of 455 individuals across 45 states have been charged with stealing $6.5 billion from Medicare and Medicaid. The frauds involved complex schemes that included wound care and other false claims. Some of the ill-gotten gains funded luxury homes and expensive vehicles, such as a $135,000 Maserati.
Federal authorities targeted 10 defendants in Southern California alone. These individuals faced charges related to nearly $270 million in fraudulent Medi-Cal claims and another $27 million extracted from Medicare. The charges came as part of the Justice Department’s concerted effort, coined the ‘2026 National Health Care Fraud Takedown’. Acting Attorney General Todd Blanche commended the historic level of collaboration among federal and state agencies, emphasizing that the operation signifies an end to healthcare fraud schemes unchecked.
‘Fraudsters can no longer rip off American taxpayers,’ Blanche declared at a news conference. ‘If you seek to harm or cheat Americans, we will find you, seize any assets, and prosecute to the fullest extent of the law.’
In California’s Central District, prosecutors charged 10 individuals with crimes related to defrauding public healthcare programs or misusing medical licenses to unlawfully distribute controlled substances. Five arrests were reported in the Los Angeles area, linked to nearly $270 million in false claims to Medi-Cal for costly prescription drugs. Among those charged was Christina Mareik, also known as Christina Marie Sanchez Hernandez. Prosecutors allege Mareik facilitated fraudulent prescriptions responsible for nearly $270 million in claims, resulting in more than $178 million paid out by Medi-Cal.
The fraudulent activities included the use of cheap generic components instead of expensive drugs, often not medically required or delivered to the supposed beneficiaries. Mareik is accused of dispatching numerous false prescriptions to accomplices and submitting bogus prescriptions herself.
Additional accusations involve Oren David Shachar, Abraham Shin, and Jeannie Choi, all charged in a 16-count indictment alleging a conspiracy to defraud Medicare of approximately $27 million. The charges encompass conspiracy to commit healthcare fraud, healthcare fraud, aggravated identity theft, unlawful monetary transactions over $10,000, and infringement of the Anti-Kickback Statute.