Nurses Among 15 Charged in Medicare Hospice Fraud Scheme That Paid ‘Fake Dying’ Patients
- Federal authorities arrested eight people and charged 15 total in connection with hospice care fraud schemes across Southern California, with losses to taxpayers exceeding $50 million. The defendants include three nurses, a chiropractor, and a psychologist.
- Investigators say the defendants recruited patients who were not terminally ill, paid them to pose as hospice recipients, and then billed Medicare for services that were either unnecessary or never provided. One nurse's hospice had an 85% non-death discharge rate, nearly five times the national average.
- The crackdown signals a broader federal push to clean up California's hospice industry, where more than 700 of approximately 1,800 Los Angeles County hospices have triggered multiple fraud red flags. Authorities plan to review every hospice facility in the state this year
FBI SWAT teams fanned out across Southern California early Wednesday morning, executing arrest warrants on doctors, nurses, and other healthcare workers accused of running sham hospice operations that bilked Medicare out of tens of millions of dollars. The operation, dubbed "Operation Never Say Die," targeted nine separate fraud investigations and resulted in eight arrests, with 15 defendants charged in total.
Among those arrested were multiple nurses who allegedly used their credentials to lend legitimacy to fraudulent hospice companies. Federal prosecutors say the schemes followed a disturbing pattern:
- Recruit patients who were not terminally ill,
- Pay them cash to enroll in hospice care,
- Then submit millions in false claims to Medicare for services that were either medically unnecessary or never provided at all.
First Assistant U.S. Attorney Bill Essayli said in a press conference, "These defendants recruited beneficiaries who were not terminally ill and paid them to pose as patients receiving hospice care."
The Nurses and Providers Charged
The charges paint a picture of a widespread, systematic abuse of hospice care across the Los Angeles area. According to federal court documents, the named defendants include:
- Lolita Minerd, 65, of Anaheim, a licensed vocational nurse who owned and operated a hospice in Artesia. Prosecutors allege she submitted more than $9.1 million in fraudulent claims to Medicare over five years and received more than $8.5 million in payments. Her hospice reportedly had a non-death discharge rate of approximately 85%, nearly five times the national average, a glaring red flag that the patients enrolled were not actually dying. Prosecutors say she paid beneficiaries roughly $300 per month to pose as hospice patients.
- Amelou Gill, 70, of Covina, a registered nurse, and her husband
- Gladwin Gill, 66, a psychologist, allegedly ran a hospice in Glendale where they submitted more than $5.2 million in fraudulent Medicare claims and received roughly $4 million. Prosecutors say the couple paid illegal kickbacks for patient referrals and used the fraudulently obtained funds for personal expenses including mortgage payments, car payments, and air travel.
- Evelyn Tindimobuna, 51, of Chatsworth, a licensed vocational nurse, is charged with health care fraud for allegedly using the Tarzana-based Comfort Choice Hospice Inc. to submit hundreds of fraudulent claims to Medicare from January 2022 through September 2025.
A multi-year investigation also uncovered a conspiracy involving the owners, doctors, and nurses of three related companies:
- Spiritual Touch Hospice
- Compassionate Touch Hospice
- Fountain Hospice
Prosecutors say the defendants owned, operated, or worked for all three companies simultaneously and recruited patients who did not have terminal diagnoses.
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A Statewide Crisis in Hospice Oversight
The arrests are part of a larger federal push to address what officials describe as a hospice fraud epidemic in California. According to CBS News, more than 700 of approximately 1,800 hospice providers in Los Angeles County alone have triggered multiple fraud red flags. Investigators have found hospices clustered in single buildings, with one plaza housing 89 registered hospice companies.
Dr. Mehmet Oz, head of the Centers for Medicare and Medicaid Services, said at the press conference that authorities plan to review every hospice facility in California this year. He noted that hospice fraud escalated significantly during the COVID-19 pandemic. Nationwide, suspected hospice fraud totaled an estimated $198.1 million in 2023.
California Attorney General Rob Bonta, who has brought cases against more than 100 defendants and filed roughly 24 civil cases related to hospice fraud, acknowledged the challenge. "We need to be responsive to the red flags and react," Bonta said, rather than simply counting them. California's hospice license moratorium has been extended through January 2027.
Each defendant faces federal health care fraud charges that carry a potential sentence of up to 10 years in federal prison. All charges remain allegations, and the defendants are presumed innocent until proven guilty in a court of law.
With federal authorities now planning to audit every hospice facility in California, nurses working in this space should ensure their documentation is accurate, their patient assessments are legitimate, and they are not unknowingly participating in fraudulent schemes. The consequences of looking the other way can be just as severe as actively participating.
🤔 Have you ever worked at a hospice where the practices didn't feel right? What red flags should nurses watch for when it comes to hospice fraud? Share your thoughts in the comments.
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