Los Angeles Hospice Fraud Under Investigation

An investigation into alleged widespread hospice fraud in Los Angeles County has brought a physician, Dr. Rajiv Bhuva, under scrutiny for his connection to thousands of Medicare claims. The investigation, based on data from the past year, revealed a pattern of potential fraudulent activity involving numerous hospice facilities and substantial reimbursements. Authorities are actively investigating the matter.

Physician at the Center of the Probe

Dr. Rajiv Bhuva is linked to a staggering number of Medicare claims for patients across 126 California hospices in 2024, according to CBS News. This figure surpasses that of any other doctor in the state. A significant portion, 115 of these hospice companies, are located within Los Angeles County.

Red Flags and Industry Norms

The CBS News investigation identified 742 of approximately 1,800 hospice facilities in LA County exhibiting multiple red flags for potential fraudulent activity, as defined by California state guidelines. Dr. Bhuva’s patient load and the associated claims significantly exceed typical industry standards, raising concerns about the quality of care provided.

Financial Impact and Previous Cases

The Medicare reimbursements linked to claims associated with Dr. Bhuva total $71.7 million. This substantial amount draws parallels to the case of Dr. Domingo Barrientos, who was convicted of healthcare fraud and is currently incarcerated after receiving slightly more in reimbursements in 2024.

Medicare Billing Privileges Revoked

Authorities revoked Dr. Bhuva’s ability to bill Medicare in March, signaling growing concern over his practices. Dr. Mehmet Oz, a vocal advocate against Medicare fraud, confirmed this action. Dr. Kristina Newport, chief medical officer of the American Academy of Hospice and Palliative Medicine, stated that providing meaningful care to such a large patient base is practically impossible.

Crackdown on Fraudulent Providers

An anti-fraud task force, led by Vice President JD Vance, has suspended 221 California hospice and healthcare providers, including those targeted in federal raids, due to suspected fraud. This demonstrates a commitment to protecting the integrity of the healthcare system.

State and Federal Collaboration

While Medicare billing falls under federal jurisdiction, California plays a role in licensing organizations that participate in the program. Recent audits have revealed weak controls within California’s system, creating opportunities for fraud. State auditors previously identified working for multiple hospice providers as a potential indicator of fraudulent activity.