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California Republicans criticize Gavin Newsom and seek explanations regarding the hospice fraud issue.

California Republicans criticize Gavin Newsom and seek explanations regarding the hospice fraud issue.

California’s Hospice Fraud Concerns Prompt Calls for Accountability

Gavin Newsom has come under fire for failing to shield California taxpayers from significant fraud, with demands for accountability escalating following alarming revelations regarding fraud in the state’s hospice sector, detailed in a recent letter from California’s Republican Congressional delegation.

The letter, sent Monday and obtained exclusively by The California Post, highlights “the scale of these findings,” which underscores systemic weaknesses contributing to the rise of fraudulent activities that negatively impact both vulnerable patients and taxpayers.

Lawmakers have raised concerns about insufficient protections and the state’s apparent failure to enforce emergency regulations, which Congress mandated following a state audit conducted in 2022.

Representative Jay Obernolte commented, “They’re lifting the moratorium without creating new guidelines. So we want to know why and we’re asking pointed questions about that.”

Despite the audit prompting Newsom to suspend hospice licenses, emergency regulations aimed at enhancing oversight, filed in December 2025, were revoked shortly thereafter, according to the letter.

The communication adds that although emergency regulations seem to be in the pipeline, they haven’t been formally resubmitted, and instead, the moratorium has been pushed back to 2027.

“Gavin Newsom was drowsy at the wheel and failed to protect California taxpayers from massive fraud,” stated Congressman Ken Calvert. “California needs to wake up and take action to stop this fraud.”

Representative Yong Kim echoed these concerns, criticizing state leadership for “turning a blind eye.” She expressed frustration, saying, “While hard-working Californians are struggling to make ends meet, the hospice fraud business appears to be booming.” She emphasized, “Someone has to hold the city of Sacramento accountable, and that’s exactly what we’re doing.”

This marks the second occasion in two months that House Oversight Committee Chairman James Comer initiated an investigation into “rampant” hospice fraud in California, accusing Newsom and state officials of having “a well-documented history of fraud in the hospice program,” with estimates exceeding $105 million.

The letter from the California Republican Party coincides with hospice fraud becoming a focal point for the Trump administration’s mission to eliminate waste, fraud, and abuse.

Earlier this month, dermatologist Dr. Fariba Javaherian, along with 16 other hospice facilities, was barred from Medicare billing after an investigation uncovered a network of suspicious doctors allegedly filing tens of millions in dubious claims within California’s hospice system.

Javaherian held various roles across 63 hospice facilities and was associated with over 6,000 claims amounting to $35,816,331, based on CMS claims data.

Additionally, federal agencies executed multiple raids against individuals accused of health care fraud in April, leading to eight arrests, including three nurses, a chiropractor, and a psychologist, who purportedly defrauded the healthcare system of more than $50 million.

“We all have an interest in making sure taxpayer money is spent wisely and appropriately,” Obernolte noted. “Everyone loses when we allow fraudsters to take money from people who are legally entitled to it.”

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