Category: fraud

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crime and punishment fraud national politics & policies subsidy

$100 Billion Stolen

Robert F. Kennedy Jr., medicare, fraud, hospice

Last month, Secretary of the Department of Health and Human Services Robert F. Kennedy Jr. detailed six billion dollars worth of Medicare fraud, where scamming operations were caught “chasing money from our agencies.” 

Some while willfully neglecting patients.

On Friday, he estimated that the HHS “loses $100,000,000,000 a year to theft.” This was from an interview on the Fly Zone Podcast, widely shared by conservatives on X.

“We shut down 800 hospices,” Kennedy explained. “You know what a hospice is? Where you’re going to die. Typically, if you go to a hospice, you leave within 18 days because your dying is terminal.” This is the context. Yet, when HHS investigated taxpayer-funded hospices in Los Angeles, “the people never died. Two or three years later they were there, and we’re paying $6,000 a month.”

The enormity is breath-taking: “We found a hotel room with 29 hospices in it. I mean a hotel, every room was a hospice, and none of them had any patients.” Some of the scams were more ambitious, involving bribery of patients and worse.

“Estonians and Armenians and people from Eastern Europe . . . were getting the patient numbers . . . stealing them from doctors’ offices.” And there were more scams, too, from members of other ethnic groups — remember Minnesota’s Somali fraudsters? 

Tellingly, after closing down the operations, the HHS did not receive “a single call from a congressman or from a business owner saying, ‘Oh, you shut down my hospice and all these patients are on the street.’ None of them, because they were all crooked and they knew they were crooked.”

Folks on the left seem oddly silent. Have you heard any denunciations of, say, greed? Or is that vice only attributable to corporations and “the millionaires and billionaires”?

This should be a non-partisan issue.

This is Common Sense. I’m Paul Jacob.

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election law fraud national politics & policies Voting

Truth Be Told

Donald Trump, non-citizen voting, democracy, voting, elections, corruption, voter ID

President Donald Trump told a prime-time national audience, last week, that the Department of Homeland Security found 278,000 noncitizens on state voter rolls after checking roughly half the states. 

“It’s a number,” as my old boss says.

The Washington Post called it “an exaggerated claim that noncitizens are registering to vote en masse.” No, noncitizens are not really registering to vote so much as being registered — without their knowledge or understanding through deliberate government policy that pretends it’s pro-democracy to throw folks on the voter list who are not legally entitled to vote.

Not that there aren’t cases of fraud. There are. But I trust the good intentions of the average non-citizen more than the intentions of the politicians in states regularly facilitating their voter registrations.

Which, incidentally, can undermine an immigrant’s ability to gain U.S. citizenship. 

Fully 250,000 of that aforementioned total were found in just four states: California, Nevada, New Jersey, and Pennsylvania. The other roughly 28,000 noncitizens were discovered on the rolls in “two dozen or so states” by running those voter files against the federal Systematic Alien Verification for Entitlements database.

Of course, some of these 278,000 identified will likely turn out to be citizens. Some will turn out to be pets. Data is sometimes incorrect. Mistakes happen. But let’s find out. 

In a sensible country, every state would (1) check its voter file against the federal SAVE database (and other data at DHS and the State Department), (2) institute a sensible, respectful and lawful process to check with voters so identified to clarify the facts, and then, (3) follow the law to remove each illegal registrant.

Instead of merely arguing about the extent and severity of the problem, why not just solve it? 

This is Common Sense. I’m Paul Jacob. 

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fraud ideological culture Internet controversy political economy

X Marks the Success

Elon Musk, grift, government contract, private enterprise, taxes, technology

Yesterday, I defended the honor, so to speak, of Elon Musk against Eric Peters’s charge — published, on his website — that the high-tech magnate is a “grifter.”

I focused only on the free speech angle. But Mr. Peters (“the libertarian car guy”) didn’t limit himself to criticizing X. He also criticized Tesla, SpaceX and DOGE.

Musk, Peters notes, “has just become a trillionaire by dint of the IPO of his Space Xcrement grift.” Folks bought into SpaceX, he says, because “they believe there is a Tesla roadster in orbit around the Earth and that we’ll soon be able to buy tickets for a trip to Mars.”

Is Peters suggesting that Musk did not send a Tesla Roadster into space? Is this some new sort of (forgive me) “conspiracy theory”? Truth is, the Roadster orbits the Sun, coming back from beyond the Martian orbit.

What does he think is really going on here? What Musk’s investors “have bought into is the grift of government contracts,” he says, “which are paid for with dollars fleeced from the tax sheep. People who buy Space Xcrement stock can share in the grift, of course. But it does not change the nature of the grift.”

While the bulk (but definitely not the whole) of SpaceX’s clients are government agencies, most importantly NASA, remember something that one might forget while reading Peters’s fun rant: Musk is indeed putting objects into orbit, with new and astounding technology of amazing efficiency, and NASA has announced that SpaceX’s biggest and best will soon take astronauts back to the Moon.

As for Tesla, these cars are on the road. They work. I wouldn’t buy one, but I wouldn’t call it a grift a million times, or even once. And Musk himself has said he’d happily produce cars without the subsidies. But he continues to use the system set up for more than just him — the usual businessman rationale.

Criticizable? Yes. Wholly a grift? No.

And as for DOGE, it’s not as if Musk did not try. He just got little support from Congress . . . or the President. Too bad. Still not a grift.

This is Common Sense. I’m Paul Jacob.

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Accountability crime and punishment fraud

Watchdogs That Don’t Bark

Minnesota, watchdog, racism, fraud, thieves, nice

Yesterday, I refrained from completely quoting Dr. Mehmet Oz, administrator of the Centers for Medicare and Medicaid Services, saving for today the juiciest part. After declaring the fraud in Minnesota dwarfed by what he saw in California, Oz said, next: “which is whole-scale cultural malfeasance around health care.”

“Cultural”?

Dr. Oz clarified at length: it’s about the cover-up. Minnesota’s fraud network? Bureaucrats knew. But when a whistleblower tried to toot on the proverbial whistle, these folks, Oz explained, were “culturally . . . dissuaded, intimidated, from speaking up.”

This would happen “any time people raised the possibility that, for example, the Somalian subpopulation, who have different cultural mores than the folks who have historically been in Minnesota, might be taking advantage of systems that were built for Minnesota nice people.”

The “cultural” aspect is the pseudo-niceness of political correctness. “So you have well-meaning people trying to be nice, trying not to ruffle any feathers. If you do ruffle feathers, you get outed.” The auditors lacked the temperament to actually audit, with those daring few speaking up systematically prevented — shuffled away — from doing any actual work. 

“Although you may still have a job there, you don’t get to do anything in that job.”

While Oz claims not to know how high up cover-for-fraud goes, I’ve a hunch that the smart ones in government know all-too-well what they are doing. They certainly know the fear. And use it. 

It’s suffused throughout: “cultural.”

This story is not unrelated to the grooming gangs in Britain, Finland and elsewhere, allowed for years by police to carry on what we used to call “white slavery” because the cops feared being called racist. 

You cannot have watchdogs too “nice” to bark.

This is Common Sense. I’m Paul Jacob.

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crime and punishment fraud too much government

Oz in Fraudland

Minnesota, California, Dr. Oz, fraud, socialism

Ten days ago, I quoted Veronique de Rugy, warning that Minnesota’s day-care fraud scandal was “only the tip of the iceberg.” 

Beyond subsidized daycare? Health care, home health care, Medicaid. 

Fraud, fraud, fraud.

But it wasn’t just a lone Reason scholar saying it. “What we’re seeing in Minnesota … is dwarfed by what I saw in California,” The Epoch Times quotes Dr. Mehmet Oz, administrator of the Centers for Medicare and Medicaid Services. 

Minnesota, Dr. Oz said, “is just the tip of the iceberg.”

Just in California’s hospice and home health care, Oz figures, fraud rockets up to at least $4 billion.

Add a few billion here and there and soon you’re talking real money.

I titled my commentary quoting Ms. de Rugy “The Tip of the Socialism-berg.” Remember Mr. Socialism? Karl Marx? He introduced to the world a complicated, rather magical theory of exploitation in market society focusing on “surplus value.” While I have trouble making heads or tails of his theory — seems utterly nuts — I do know something about its origin. 

Marx nabbed it from classical liberal French scholars who preceded him. But they said the exploitation was through government mechanisms: it’s those who skim off of taxes who exploit the masses. 

Marx turned it upside down.

So let’s turn things right-side up: we all know that when it comes to policy, good intentions don’t make up for bad consequences. And those who de-fraud the taxpayers don’t have “good intentions.” 

They’re thieves. 

This is Common Sense. I’m Paul Jacob.

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