CEO of California Health Care Firm Arrested in $7 Million Veterans Affairs Fraud Case

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Federal authorities have arrested the chief executive officer of a California-based home health care company who allegedly attempted to flee the United States while facing accusations of defrauding the Department of Veterans Affairs (VA) of more than $7 million.

According to a statement released by the U.S. Attorney’s Office for the Eastern District of California, the suspect was taken into custody at San Francisco International Airport as he prepared to board a flight bound for Nigeria. Officials said the arrest capped a lengthy investigation into fraudulent billing practices that targeted programs designed to provide medical care for U.S. military veterans.

Prosecutors allege that over a five-year period, the company submitted false claims for services that were never provided. In some instances, investigators discovered that the firm billed the government for care purportedly delivered to veterans who had already died.

The case highlights what authorities describe as a deliberate scheme to exploit federal health care programs intended to support former service members. “This arrest demonstrates our commitment to protecting taxpayer dollars and ensuring that veterans receive the benefits they have earned,” the U.S. Attorney’s Office said in its statement.

The suspect now faces federal charges related to health care fraud and wire fraud. If convicted, he could face significant prison time and financial penalties.

The Department of Veterans Affairs has not yet disclosed the full scope of the impact on affected veterans, but officials emphasized that the investigation underscores the importance of safeguarding federal health care programs against abuse.

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