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Dr. Oz promises to ‘aggressively’ go after ‘mafia’ stealing billions through Cali hospice fraud

January 27, 2026
in News
Dr. Oz promises to ‘aggressively’ go after ‘mafia’ stealing billions through Cali hospice fraud

The Trump administration is “aggressively” targeting the Russian and Armenian mob to crack down on medical fraud in California, Medicaid czar Dr. Mehmet Oz said as he threatened a major campaign against the scheming gangsters.

The former TV-doctor offered a stark warning Monday that the feds were working to take down corrupted doctors that have fallen in league with the criminals, who are allegedly siphoning billions through the medical schemes in the Golden State.

“This mafia seems to have taken over the system. They corrupted doctors, they’ve normalized fraud so that everyone sort of expects it, but the magnitude of it is so great that we have to take it out aggressively,” Oz, who is the Administrator of the Centers for Medicare & Medicaid Services, said in a video shared to social media.

Dr. Oz standing in front of a building that says
Medicaid czar Dr. Mehmet Oz threatened to target the Russian and Armenia mob to crack down on medical fraud in the Golden State. Dr Oz

“It’s a focus area for CMS and this administration and President Trump is not going to tolerate taxpayer dollars being stolen because people aren’t paying attention anymore.”

The video builds upon the news Oz broke earlier this month that hospice care in Los Angeles had increased “sevenfold” in the last five years — a skyrocketing rate he told The Post sparked an investigation.

“That doesn’t happen naturally,” he said at the time.

The former TV doctor pointed the finger at foreign gangsters, likely from Russia or Armenia, who are corrupting doctors and defrauding the medical system by enrolling ineligible patients into hospice care and billing for services not rendered.

At least 100,000 Medicare numbers had been handed over after being convinced by “100 bad doctors” that they were dying.

In Los Angeles County alone — which Oz called the “epicenter” of the scheme — organized crime allegedly milked more than $3.5 billion.

A business exterior with signs for credit repair services.
Organized criminals are allegedly siphoning billions through medical schemes in the state. Dr Oz

Oz claimed that the “scale is huge” in California and makes the Medicaid fraud in Minnesota pale in comparison.

The former surgeon has been going head-to-head with Gov. Tim Walz since last month — and is withholding Medicaid funding until the Midwest state restores “the integrity” of its program.


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More than $1 billion had been stolen through a massive Medicaid fraud scheme carried out by “bad actors” within Minnesota’s Somali community, Oz claimed, alleging that some of the funds “may have even made its way to the Somalian terrorist group (al-Shabab).”

“Our staff at CMS told me they’ve never seen anything like this in Medicaid — and everyone from Gov. Tim Walz on down needs to be investigated, because they’ve been asleep at the wheel,” Oz said last month.

The post Dr. Oz promises to ‘aggressively’ go after ‘mafia’ stealing billions through Cali hospice fraud appeared first on New York Post.

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