California AG Dismantles $267M LA Hospice Fraud Ring — 21 Charged; DHCS Signals Intensified Audit Activity for All Medi-Cal Providers

California AG and DHCS dismantled a transnational fraud ring operating 14 fraudulent hospice providers in LA that used stolen Medi-Cal identities to bill $267M in false claims, with 21 charged and $70M+ recovered. While unrelated to FQHCs, this action is fueling federal scrutiny of all California Medi-Cal providers and signals DHCS will intensify audit and identity verification requirements — legitimate FQHCs should expect tighter claims review on crossover claims and dual-eligible billing.