Related videos:
The anti-fraud task force led by Vice President JD Vance froze $1.4 billion in federal funds this Wednesday intended for home healthcare and hospice providers nationwide, suspected of committing fraud against Medicare and Medicaid, as reported by Fox News Digital.
The measure comes after a wave of suspensions that primarily affected California and Minnesota, and is part of a broader offensive by the Trump administration against fraud in public health programs.
A spokesperson for Vance stated, "The vice president's task force continues to stop the flow of taxpayer funds before they fall into the hands of scammers and delivers savings to the American people. This is a significant boost in the president's fight against fraud."
Approximately 90% of the suspended providers have not contacted the Centers for Medicare & Medicaid Services (CMS) since their payments were frozen, which authorities interpret as a sign that they are not legitimate operations.
Vance described Minnesota as "the tip of the iceberg" and noted that the administration is evaluating the denaturalization of suspects facing fraud charges.
The task force, established in March 2026 and composed of 10 federal agencies—including the Departments of Justice, Health, Homeland Security, and Labor—has steadily scaled up its actions since its inception.
Only in the Los Angeles area, the task force suspended 447 hospices and 23 home health agencies, with an estimated fraud of $600 million in that region.
In February 2026, the same task force had blocked $259.5 million in Medicaid funds to Minnesota.
The so-called "Cuban connection" was highlighted weeks earlier by senior officials of the administration. On April 8, the Secretary of Health and Human Services, Robert F. Kennedy Jr., described a "criminal network directed by the Cuban government" that operates through ghost companies in South Florida that charge Medicaid for medical equipment that is never delivered.
"There is a whole criminal network run by the Cuban government that sells poor-quality medical equipment. Supposedly, these companies sell wheelchairs and knee braces, but they only have a list of patients. They charge Medicaid for them," stated RFK Jr.
The secretary also revealed the discovery of a hotel with 129 rooms, each registered under the name of a different company dealing in durable medical equipment without actual inventory.
The CMS administrator, Dr. Mehmet Oz, had warned on April 4 that there are double the number of durable medical equipment providers in South Florida than there are McDonald's restaurants, directly stating: "There is rampant fraud here, and we believe that the Cuban government could be involved in this!"
The Cuban regime rejected the accusations on April 8, describing them as "yet another slander promoted by anti-Cuban sectors," although it acknowledged having prosecuted individuals linked to Medicare fraud within the country and claimed to have shared information with Washington.
Fraud in Medicare and Medicaid involving individuals of Cuban origin has decades of federal documentation: in 2009, authorities dismantled a network of 85 fraudulent medical equipment companies linked to Cuban exiles, and in 2013, the FBI identified 54 fugitives for Medicare fraud, 26 of whom were in Cuba.
The Trump administration estimates that losses due to fraud in Medicare and Medicaid amount to $300 billion annually, making Wednesday's action the most significant financial measure taken to date by Vance's task force.
Filed under: