Federal Raid in Tarzana Leads to Arrest in $50M Medicare Hospice Fraud Case

Federal agents arrested a chiropractor in Los Angeles’s Tarzana neighborhood during a pre-dawn raid tied to a healthcare fraud investigation. Prosecutors say the operation, called "Never Say Die," involved more than $50 million in fraudulent Medicare billings for hospice services. Eight defendants, including nurses, a chiropractor, and a psychologist, are accused of enrolling people who were not terminally ill.
The Tarzana arrest occurred during an early-morning federal operation in which agents entered a residential property and blocked nearby streets, according to local media and helicopter footage cited in the report. The detained chiropractor was one of eight people charged in a case spanning several California locations.
Prosecutors say the alleged scheme billed Medicare more than $50 million by placing people who were not dying into hospice care. The defendants include three nurses, a chiropractor and a psychologist. Officials said the arrested defendants were expected in federal court that afternoon, with more information promised at a later press conference.
The case could heighten scrutiny of hospice enrollment and billing practices, affecting patients, providers, and taxpayers who fund Medicare. If the allegations are proven, it may reinforce concerns that vulnerable people can be used to generate false claims, while legitimate hospice operators could face added paperwork and oversight. The arrests may also shape how communities view medical fraud enforcement, though the legal process will determine individual guilt or innocence.