Federal agents pounced on a slew of alleged medical fraudsters accused of massive schemes in Los Angeles — including a $27 million plot to steal the identities of dead people — as part of a national takedown by acting Attorney General Todd Blanche in Washington, DC.
Authorities arrested five people accused of stealing millions in taxpayer dollars and charged five others, including a Van Nuys hospice owner accused of swiping the identities of dead people to fund a flashy car collection including a $530,000 Rolls-Royce Phantom.
In a Tuesday press conference, Blanche announced multiple takedowns that charged hundreds defendants nationwide.
The feds this year busted medical fraudsters accused of stealing more than $6.5 billion nationwide, including a record-breaking arrest of 455 alleged healthcare crooks in 45 states, the nation’s top prosecutors said.
“Fraudsters can no longer rip off American taxpayers,” Blanche said at the press conference from Department of Justice Headquarters on Pennsylvania Ave.
“If you seek to harm or cheat Americans, we will find you, seize any assets, and prosecute you to the fullest extent of the law.”
Federal authorities suspended Medicare payments to 1,000 people in the first half of the year, and much of the fraud occurs in California, said FBI Director Kash Patel.
“That’s a lot of people,” said Patel, with “nearly 800 by the way, from one state, California.”
Secretary of Health and Human Services Robert F. Kennedy Jr. called out Los Angeles as a hive of hospice fraud, pointing out that federal authorities have closed down 800 hospices in LA alone.
“One of the ways that we’ve been able to detect that fraud is, that in many of them, the patients never die, they live forever,” said Kennedy. “That’s not supposed to happen in hospices.”
The California Post was there last week as federal agents swooped on Oren David Shachar, taking the owner of at least four hospices in the Los Angeles area into custody for an elaborate series of alleged schemes that involved stealing the identities of people to bill for hospice services.
Shachar allegedly funneled the money from his businesses to pay for luxury goods, including $15,000 taken directly from one of his hospices for the down payment on a lease-to-own Rolls-Royce Phantom, a car that carries a sticker price of nearly $530,000.
Shachar paid funeral home workers Abraham Shin and Jeannie Choi for the personal information of dead people that he used to bill the government for hospice services that were never provided, paying between $1,000 and $3,000 for each deceased person’s identity, prosecutors charge.
In total, federal prosecutors in the Central District of California have brought criminal charges against 10 defendants who’ve allegedly engaged in fraud against government-funded health programs or abused their positions as doctors to illegally prescribe controlled substances.
“Public health programs are intended to support the elderly, the ill, the needy, and other vulnerable members of our communities,” said First Assistant United States Attorney Bill Essayli. “It is not there to enrich fraudsters.”
Shachar, 59, of Van Nuys, and Shin, 66, of Corona, were arrested on June 18 and arraigned in US District Court in Los Angeles.
Both accused crooks, along with Choi, 57, of Torrance, are charged in a 16-count indictment alleging that they ripped off Medicare for approximately $27 million.
Choi was arrested Monday and is expected to appear Tuesday in US District Court in Los Angeles.
Shachar allegedly conspired with marketers Choi and Shin to submit false claims for hospice services for people who were not terminally ill or were already dead, authorities said, paying kickbacks to a local funeral home for the names of the dead.
Payments on the false claims went to at least four hospices controlled by Shachar, including Gentle Touch Hospice in Valley Glen, Oxford Hospice Care in Montclair, Art of Hospice in Encino, and Holly Trinity Hospice in Glendale, the feds said.
The Post was also on hand when federal agents on June 17 swarmed on Christina Mareik, 61, of Whittier, arresting her on a federal criminal complaint charging her with health-care fraud.
Federal authorities say Mareik submitted nearly $270 million in bogus Medi-Cal claims for expensive prescription drugs that were not medically necessary and, in many instances, not provided to the purported recipients.
Medi-Cal paid more than $178 million on fake drug claims, prosecutors charge.
Mareik allegedly worked for Paul Richard Randall, 67, of Orange, a patient marketer for Monte Vista Pharmacy, collaborating with Randall to bill the government for fake drug claims.
Federal authorities seized multiple luxury cars and rare baseball cards in connection with the scheme. Randall pled guilty on April 7 to wire fraud and faces up 30 years in federal prison
Mareik is free on $100,000 bond and her arraignment is scheduled for July 23.
Essayli said federal authorities will keep up maintain pressure on medical fraudsters who are trying to get away with ripoffs in Los Angeles.
“We will find you. We will arrest you. And we will seek long prison sentences,” he said.
https://nypost.com/2026/06/23/us-news/massive-27m-la-hospice-fraud-revealed/





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