Federal authorities charge 15 in massive $1.8B Southern California medical fraud sweep

Federal authorities conducted predawn raids across Southern California on Thursday, busting suspected fraudsters — including a cardiothoracic surgeon — accused of stealing nearly $2 billion through sham substance abuse programs, unnecessary surgeries, and phony hospice care.

In total, 15 people, including six medical professionals, were charged in connection with $1.

8 billion in fraudulent claims submitted to government and private health insurance programs, the Justice Department said.

"These charges include the largest sober home fraud scheme the Department has ever prosecuted, and a scheme involving unnecessary invasive procedures that was detected through data analytics," said Assistant Attorney General Colin McDonald of the Justice Department’s National Fraud Enforcement Division.

"Our message is simple: if you steal health care dollars from the American taxpayer or abuse your position to harm patients, we are coming for you — and the data will lead us to you." Among the defendants are Dr.

Harold Tabaie, 78, of Anaheim, a cardiothoracic surgeon, and his business partner, Hany Malek, 61, a Tarzana chiropractor.

FBI ADDS 2 FUGITIVES TO 'MOST WANTED FRAUDSTERS' LIST AMID HISTORIC $6.5B HEALTHCARE TAKEDOWN: PATEL Both are charged in a $135 million scheme to bill Medicare for medically unnecessary atherectomies — an invasive arterial procedure using a bladed catheter to clear plaque.

Prosecutors allege Malek posed as a medical doctor to diagnose patients with arterial disease and recommend atherectomies, even though the patients did not have the condition.

CALIFORNIA DOCTOR CONVICTED OF $45M MEDICARE FRAUD SCHEME THAT FUNDED LUXURY VACATIONS AND A $12K CROSSBOW Tabaie then performed the procedures, sometimes repeatedly on patients for whom previous operations had already failed, according to officials.

Authorities noted that several patients suffered extreme pain and discomfort as a result.

Malek also faces charges for submitting fraudulent Paycheck Protection Program (PPP) loan applications in 2021.

He allegedly fabricated a 25% revenue loss for his business to secure loan funds, which he then spent on personal expenses, family credit cards, other ventures, and rare coins.

TOP FEDERAL PROSECUTOR CALLS CALIFORNIA A 'FRAUDSTER'S PARAD ISE,' WARNS STATE OFFICIALS COULD FACE CHARGES In a separate case, Nathan Young, 39, and his father, David Young, 71, were charged with operating a $1.6 billion substance abuse scam.

Authorities allege the father-son duo trafficked drug addicts from across the nation to dozens of Los Angeles rehab centers.