Hospice where staggering 97% of terminal patients survive is accused of defrauding Medicare for $7.45 million

Key Points:

• The FBI arrested a married couple, Gladwin and Amelou Gill, owners of 626 Hospice in California, for allegedly fraudulently billing Medicare $7.45 million, with their hospice reporting an unusually high five-year survival rate of over 97%, a red flag for fraud.
• This arrest is part of a larger crackdown involving 15 defendants, many accused of hospice fraud, including some incarcerated individuals collaborating with outside accomplices, as announced by U.S. Attorney Bill Essayli.
• CBS News' investigation found that over 700 of approximately 1,800 hospices in Los Angeles County exhibited multiple fraud warning signs such as low patient counts, excessive billing, shared staff, and terminally ill patients discharged alive.
• Hospice fraud has become a national concern, with significant political attention from Republicans, including Vice President JD Vance leading an anti-fraud initiative, and the House Oversight Committee launching an investigation into improper Medicare payments in Southern California.
• California Attorney General Rob Bonta has pursued criminal and civil actions against over 100 defendants in the hospice industry and extended a moratorium on new hospice licenses until January 2027, while multiple agencies collaborate on a task force to combat ongoing fraud.