This year marked the third time that federal investigators have orchestrated a massive, coordinated fraud takedown, and each year it seems to get bigger in scale. This time, they arrested more than 300 people across the country linked to $900 million in fraudulent claims, outpacing the 243-person, $712 million bust in 2015 and more than tripling the 89-person, $233 million takedown in 2013.
Data is a critical tool in these takedowns, along with the coordination of state, federal and local law enforcement agencies. The success of national fraud busts, and the work of Medicare Fraud Strike Forces, has given rise to homegrown fraud task forces at the state level.
Gejaa Gobena, a partner at Hogan Lovells who worked at the DOJ for all three busts, said they are part of the effort to bring the DOJ and U.S. Attorneys offices closer together to effectively use fraud-fighting resources. He added that publicized takedowns are a proven deterrent to fraud.
It’s also a chance for the feds to puff out their chests and demonstrate their enforcement capabilities. If the figures tied to these takedowns keep going up, this annual tradition is likely to continue.