Monday, April 20, 2026

Government Fraud Update, Part 1: Obama Care Fraud In Florida, Medicaid Fraud In California, and Massive Hospice Fraud In Los Angeles

 For the  last several weeks we have focused on two themes in  our posts. The first theme was  good old political class insanity and how the politicians in this country always make things worse and we pay for their  ineptness in so many ways. The second theme was a continual review of which major city or state government will get to bankruptcy court first given that our top candidates are already in  financial death spirals.

We are going to step back from these themes for a while and embark on what is going to be a long list of instances of government and criminal and fraud  corruption. Every level of government these days seems to have government programs that are infested with criminal actions that steal hard earned taxpayer dollars for themselves, depriving needy Americans of the resources they need to overcome the problems they face everyday.

There will be no special or organized order as we explore the multitude of capers and  criminal actions against government programs. The only thing we can say now is that the almost daily uncovering of new fraud cases and investigations will be disgusting and long.

Before going any further, let’s give credit to Nick Shirley, a 23 year old independent journalist who uncovered billions of dollars worth of government fraud in  Minnesota before moving on to California where he has been uncovering similar government corruption and criminal fraud in that state. It seems that his efforts were the catalyst that started an avalanche of criminal  schemes stealing taxpayer dollars becoming public knowledge.

1)Vice President, J.D. Vance has been named as the  leader of a Federal  government level  task force to go after those that are ripping off Federal  government programs. An early success of this effort is out in California where a whopping 447 hospices and 23 home health care agencies just in Los Angeles have been suspended and cut off from Federal government subsidies. It is expected that these bogus health care providers embezzled $600 million of taxpayer fraud.

That is the good news: multiple criminal operations in  Los Angeles will be put out of the business of stealing taxpayer wealth. The bad news is twofold:

  • First,  all of this fraud was just in a single metro California area, Los Angeles. Imagine how many billions of dollars are being stolen in other areas of the state that have not been shut down yet.

  • Second, the politicians in  California, the same  people that allowed billions of dollars to be stolen over the years, now are considering passing legislation that would make investigative efforts like Nick Shirley illegal.  

  • Rather than focus on the real criminals stealing taxpayer wealth, these idiots are going after the person uncovering the corruption,  something that the politicians should have been doing for years.

You cannot make this stuff up. Billions of dollars being stolen right under the  noses of those in elected office that should be preventing the theft. But they would rather go after those identifying the theft than fix what they have  broken.

2)Okay, a good start, $600 million. But the Vance anti-fraud task force is working hard in other areas of the country:

  • Before going further, consider a nice summary of the fraud from the Daily Caller website: “The fact that these taxpayer dollars went out without verifying if the contractors and vendors were even real or lawful businesses is a disgrace and yet another example of how the previous administration flouted basic anti-fraud guardrails.”

  • In light of this summary,  consider the reality that the Vance task force recently discovered a scheme that apparently cost the American taxpayer $6.3 BILLION.

  • This taxpayer wealth was distributed to potentially fraudulent businesses under government contracts.

  • The numbers are staggering: the $6.3  billion went out under 895 different government contracts to 392 businesses, many of whom did not even exist.

  • Vance has given these possibly non-existent companies 30 days to prove they exist and are operating within the framework of the contracts.

  • Those that cannot prove they are viable and doing the work they are supposed to be  doing will have the Federal government go after the individuals responsible for the fraud and try to claw back the taxpayer dollars they stole.


Yes, the $6.3 billion number is just a number but consider this: there are about 770,000 homeless Americans living on the streets. If that $6.3 billion had been spent on feeding those homeless Americans rather than being stolen by criminals as a result of government incompetence, then every one of those 770,000 homeless folks could have received three meals a day for about two and a half years. That is the human side of the $6.3 billion.


3)Let’s go  back out to  California, a state that I think will be a prime area for government fraud, a get a more in-depth  look at the LA hospice fraud discussed above:


  • Apparently, a recent report from the state auditor for the California state government found that there was a massive hospice fraud in the state.

  • This audit led to  21 people being charged with stealing $267 million via bogus hospice operations.

  • The sad part of this episode of government fraud is that the governor, Gaavin Newsom, was warned this type of criminal  activity was going on back in 2022 and apparently he did nothing for the succeeding four years to stop it.

  • It was pretty obvious what was going on since the number of hospice operations went from 109 in 2010 in LA County to 1,841 today, a 17 fold increase, nowhere close to the growth in  population during that time period.

  • In 2022, the state auditor reported that supposed hospice operations were clustering geographically in impossible concentrations, patients were being discharged despite supposedly  being in hospice, end of life care, and ridiculous high and obnoxious billing patterns.

  • Criminal  enterprises bought stolen identities, enrolled these stolen identities in bogus hospice operations and then billed California’s Medicaid operation for the fake hospice care.

  • This  operation eventually cost the state Medicaid operation $267 million but only $30 million has been  recovered.

  • But it was pretty oblivious to anyone who cared, and obviously the state governor and state politicians did not care, since LA county alone had more hospice operations than 36 other states COMBINED and in one four block stretch of Los Angeles, Federal officials counted 42 supposed hospice operations.

  • And  it was not just the sheer amount of fake hospice operations that were bleeding the state of taxpayer wealth, the  average annual  billing for these fake patients in hospice was $29,000 per patient per year, more than the national  average of $13,200.

  • More travesties: 18% of ALL Medicare hospice and home care billing amounts in the entire country goes through the  mostly fake hospice operations just in  LA County,  18% of the whole country.

  • California politicians and government operations allowed this type of obvious fraud to go forth for years and years.

  • And yet, the state’s attorney general wants us to ignore the obvious and widespread fraud and blame, who else, and Trump and politics: "There are those in this federal administration who can only see things through a political lens and want to politically weaponize this."


Given the lack of aggressiveness by Newsom, his attorney general and the political class in  California  to attack the fraud problems, in the face obvious face disgusting above fraud numbers, they are either too stupid to see what is going on or somehow benefit from the fraud that is allowing billions of American taxpayer dollars to flush down the toilet. Stupid or benefitting from the fraud, you decide.


4)The Justice Department is finally getting involved and doing in-depth investigations on criminals defrauding the American taxpayer:


  • According to the current acting attorney, Todd Blanche, the Department of Justice is currently looking into more than 8,000 potential fraud schemes.

  • These 8,000 potential  fraud cases could be costing the American taxpayer over a trillion dollars a year.

  • One example of these 8,000 cases  involved a Florida insurance brokerage  company that admitted to defrauding Obama Care of $160 million.

  • Another example involved a California man who is accused of stealing $270 million in false Medicaid claims as related to prescription drugs.

  • The Justice Department is creating a National Fraud Enforcement Division to efficiently go after fraudsters.


Okay, a good start down the trillion  dollar fraud avenue, let’s hope this finally shuts down the Federal  government fraud heritage.


We are just getting started. Unfortunately, we will be on this topic for a while, that is  how much fraud that needs to finally be  cleaned up and stopped.


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If you agree that we need to deseat every member of Congress for their lack of success and accomplishment, then please consider going to the following petition link to help the cause:


https://www.change.org/p/deseat-congress-reset-freedom



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Our book, "Love My Country, Loathe My Government - Fifty First Steps To Restoring Our Freedom And Destroying The American Political Class" is now available at:

Friday, April 17, 2026

April, 2026, Part 4, Political Class Insanity: Delaware Facing a Revenue Problem, A Corrupt, Ballot Stuffing Politician In California and Obama Is Still A Hypocrite

 We have been spending a lot of time lately dissecting the race to bankruptcy court,  i.e. what state government or city government will go bankrupt first. Many  Democratic states and cities have already entered into financial death spirals as their taxpayer base erodes but the politicians running these cities and states cannot or will not reduce government  spending or make government operations more efficient to cope with the shrinking tax base. 


The last two posts on this topic can  be found at the following links:


https://loathemygovernment.blogspot.com/2026/04/the-race-to-bankruptcy-court-proof-that.html


https://loathemygovernment.blogspot.com/2026/04/the-race-to-bankruptcy-court-california.html


However, we will take a break from this bankruptcy race and discuss some good old fashioned political class insanity for the next few posts.


1)One of the most consistent traits of American politicians is their hypocrisy. They act holier than thou but their hypocrisy and selfishness always eventually shines through. Obama recently presented the most current example of that hypocrisy:


  • After the bogus election results of the 2020 Presidential  election process and other voting corruption cases and examples, Republicans in  Congress and Trump have been pushing the SAVE Act legislation.

  • The main point of the proposed legislation is that before someone could vote in an election, they would have  to prove they are a valid American citizen and voter by showing a valid photo government id document.

  • It is a simple and logical requirement so that ballot boxes cannot be  stuffed with bogus votes and voters which is exactly what happened in 2020 and resulted in Biden getting a totally unrealistic and impossible 81,000,000 votes

  • Obama, as an ex-President,  should be seen and not heard, his time in the  spotlight ended ten years ago.

  • But his ego will not let him fade into history and he has been an active and  loud critic of the Save Act.

  • He ridiculously claims that millions of Americans would lose their right and privilege to vote if they had to provide a simple government id at the voting place.

  • But the hypocrisy is that in order to enter his pending Presidential library in Chicago you have to show, wait for it, a valid government photo id.

  • The plan is for Chicago, Cook County, and Illinois state residents to have free access to the library on Tuesdays but to get the free option one would have to  prove they are legal residents of the city, county, or state.

  • Specifically, someone "must be able to provide proof of residency with a valid photo ID, Illinois driver's license, state ID, or city-issued ID."

  • The foundation operating the Presidential Library operation is also conducting a sweepstakes  that offers two free tickets to the grand opening of the  library in June but any potential winner will have to provide a government issued id in order to get the two free tickets.

  • Trump’s press  secretary,  Kayleigh  McEnany, summed up the  hypocrisy quite nicely:  "Why do we have stricter standards for the Obama library than for voting?"

  • But this hypocrisy should not surprise anyone since Obama promised local Chicago residents  would not pay for any aspect of the Obama Presidential library since it would be privately financed.

  • But the bottom line is that the state of Illinois contributed $229 million of  taxpayer money and the city of Chicago contributed over $200 million for road construction and modifications, utility relocations, and drainage improvements.

  • While taxpayer money was used to make the environment possible for his presidential library,  Obama’s library staff has at least seven employees that are earning six figure salaries with the  top executive,  Valerie Jarrett, pulling down over $700,000 a year in  salary.

You must have a government id to enter my library but I oppose having a  government to vote, a vital part of any democracy.  Give me your tax  dollars to make my library possible but I  am going to pay my political  cronies mega salary dollars as employees.

Keep in mind that according to a Pew Research poll, 83% of Americans are in  favor of a government photo id being required for voting. Thus, Obama and Democrats who oppose the Save Act are not operating according to the will of Americans. They are operating under the conception that the looser the voting requirements the easier it will be to replicate the stealing of the 2020 Presidential election.

But do not try to get that free Tuesday admission to the Obama library, that is more important to police and regulate than the next election. Pathetic respect for the integrity of  the voting process.

2)Speaking of  voter fraud, corruption, and  abuse:

  • A former councilman  in  Lodi, California recently pleaded no contest to an extensive election case fraud.

  • This happened when investigators found dozens  of suspicious ballots and voter registrations in his home.

  • Specifically, they found 41 completed mail  in ballots and  about 70  registrations connected only to his address or his own contact information.

  • He pleaded no contest but accepted a conviction and the criminal penalties that come with that situation.

It is sad when it is actually an elected official, or former elected official, that is involved in stuffing and corrupting the ballot box and voting process. More proof that voting procedures need to be tightened up especially when it is the political class doing the corrupting of those procedures.

3)We have  often talked about how we believe that a state government will soon go  bankrupt as their politicians lead them down a financial death spiral. Our top candidates for a state government bankruptcy are New York,  New Jersey, Illinois, and California.

We have  never  discussed the possibility that the tiny state of Delaware could also enter that race but there are some ominous rumblings coming out of that state lately that is resulting in some financial strains:

  • Delaware has long been a favored state of businesses to incorporate in.

  • The state Court of Chancery has long been a respected type of court that businesses favored to be ruled over since they had the best history and personnel to support business financial and  legal  matters.

  • In return for being a state to have  favorable incorporation rules and laws, the state government received significant funding and fees  from  the operation of this court.

  • In fact, it is estimated that the fees that come from the incorporations and related activities come out to about $2.8 billion a year or about 20% of the state government’s annual budget.

  • But over time, this special court began issuing more and more anti-business rulings in the  opinion of many businesses incorporated in the state.

  • And as a result, many businesses have withdrawn from the state and are now doing business in other more business-friendly states.

  • This has resulted in a downward pressure on the revenue that the state government relies on from this court, which, as we stated above, is a whopping 20% of the total state budget.

  • In fact, it is estimated that dozens of businesses have withdrawn their incorporation business out of the state to other, more business-friendly courts in states such as Texas and Nevada.

  • At least 60 companies have left the state to incorporate elsewhere, taking a whopping $3 TRILLION of  market  cap value elsewhere.

  • In a recent week, the companies FirstCash Holdings and GPGI have stated their plans to  withdraw from Delaware.

  • FirstCash is going  to incorporate in Texas and head  out of Delaware and   GPGI is leaving Delaware and heading to Nevada.

  • Other companies that have already left Delaware include Tesla, SpaceX, Coinbase, Dillards, the Simon Property Group and dozens of  other companies.

  • Other companies are bypassing the state altogether such as Exxon MObil which is moving out of New Jersey and reincorporating in Texas,  bypassing Delaware altogether.

  • At least seven other major companies are holding shareholder votes to leave Delaware for other states.

  • Famed lawyer and Harvard professor emeritus has called Delaware’s judiciary “one of the  most corrupt in  the nation," hardly a ringing endorsement.

  • "Delaware's once-esteemed Court of Chancery is increasingly viewed by corporate leaders as unpredictable, with rulings that introduce uncertainty into routine business decisions and open the door for enterprising trial attorneys to file lucrative lawsuits," according tp Karen Harned, a former executive director of the National Federation of Independent Business Small Business Legal Center, recently wrote in DelawareOnline.com.

Interesting developments: could the Delaware state government start into a financial death spiral like the four states  listed above but for a different reason: their steady, major funding from  the state’s Court of Chancery continues to dwindle as companies move their business dealings out of the state much like businesses are physically moving their businesses out of New York, New Jersey,  Illinois, and California for better tax and regulation reasons.

Will Delaware politicians do the right thing and streamline and reduce government  operations to deal  with the reduced tax revenue? Or will  they take the easier, more cowardly strategy to just raise other tax rates to fund their now bloated and at risk government budgets? Who knows, maybe Delaware enters the race to bankruptcy court with the bigger states listed above.

Enough insanity for now: Delaware state government also now faces a dwindling tax revenue stream, Obama is still a hypocrite, and a California politician allegedly stuffed the ballot box and is going to jail for possibly doing so.

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If you agree that we need to deseat every member of Congress for their lack of success and accomplishment, then please consider going to the following petition link to help the cause:


https://www.change.org/p/deseat-congress-reset-freedom



**********************


Our book, "Love My Country, Loathe My Government - Fifty First Steps To Restoring Our Freedom And Destroying The American Political Class" is now available at: