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Thursday, May 14, 2026
AG Claims 25 Medicaid Fraud Prosecutions Since 2021
By News Release @ 4:45 PM :: 171 Views :: Ethics, Hawaii Statistics, Health Care, Law Enforcement

HAWAIʻI ATTORNEY GENERAL REJECTS CHARACTERIZATION OF MEDICAID FRAUD ENFORCEMENT AND DEFENDS STATE’S ENFORCEMENT RECORD

News Release 2026-26 from Department of the Attorney General, May 14, 2026

HONOLULU – The Department of the Attorney General today rejected recent claims that Hawaiʻi “isn’t taking Medicaid fraud seriously,” calling the claims by Vice President J.D. Vance false and unsupported by the record.

Since 2021, the Medicaid Fraud Control Unit (MFCU) has secured or helped secure judgments, settlements and recoveries in 25 cases, totaling $14,094,547.91. Last year, the MFCU secured a $30,000 settlement against a Medicaid provider for fraudulent billing. Earlier this year, the MFCU secured another Medicaid fraud settlement in the amount of $208,317.69.

The MFCU also filed criminal charges earlier this year against two individuals, one of whom has already pleaded no contest as charged.

“Political attacks do not change the facts,” said Attorney General Anne Lopez. “Hawaiʻi has not ignored Medicaid fraud. Our Medicaid Fraud Control Unit has secured or helped secure more than $14 million in judgments, settlements and recoveries since 2021, filed recent criminal charges — and is actively working with federal and state partners to strengthen investigations and prosecutions. We welcome accountability, but we will not allow the work of this unit to be mischaracterized as doing nothing.”

The Hawai‘i Medicaid Fraud Control Unit is committed to working closely with federal partners, including the U.S. Department of Health and Human Services Office of the Inspector General (HHS-OIG), its MFCU Oversight Division and Office of Investigations, as well the MFCU’s closest state partner, the Department of Human Services Med-QUEST Division, to detect, investigate, and prosecute Medicaid fraud in the state of Hawaiʻi.

In April of this year, a team from the HHS-OIG MFCU Oversight Division did an on-site review of the MFCU’s case files and policies and procedures, interviewed MFCU employees, stakeholders and Attorney General Lopez. Together with the on-site team, the MFCU identified a number of challenges that have impacted its ability to initiate criminal charges and obtain convictions. The MFCU is actively addressing this situation, including increased collaboration with the unit’s state and federal partners to detect and investigate Medicaid and Medicare Fraud in Hawai‘i, accelerated recruitment of new investigators, and developing innovative tools for investigation.

“The Department of the Attorney General and the MFCU take Medicaid fraud, patient abuse and neglect very seriously,” said Landon Murata, director of the Medicaid Fraud Control Unit. “We appreciate the continued assistance and cooperation of HHS-OIG, the MFCU Oversight Division, the Office of Investigations and Med-QUEST as we strengthen our enforcement efforts.”

For more information about MFCU, please see the attached fact sheet.

LINK: FACT SHEET

JD Supra: HHS OIG Sends a Strong Warning to State Medicaid Fraud Control Units: Signals Aggressive Federal Oversight of State Medicaid Fraud Enforcement | Benesch - JDSupra

BACKGROUND--MEDICAID IN HAWAII

2026: VP Vance: Hawaii has 'not taken Medicaid fraud seriously'

2026: $35K Bribe: How Luke Donor and Caldwell Cronies Cashed In On City-Funded COVID Testing Program at Airport

2025: Supreme Court to Decide: Are HMSA Physician Contracts “oppressive, unconscionable, and unenforceable”? 

2025: HMSA: AI Robot will be 'Single Source of Truth'

2025: 'Ohana Health Plan Launches Residential Program for Homeless Psych Treatment

2025: Hawaii AG Claims Victory--Sued to Overturn Trump Funding Freeze 

2025: Hawaii Says Trump’s Medicaid Policy Is Harmful. They Can’t Prove It.

2025: Hawaii Assisted Living Costs Highest in USA

2025: How many people are receiving substance use treatment in Hawaii?

2025: Medical Malpractice? Hawaii 5th Worst

2025: Lawsuit by State Hospital Medical Director Details How Retaliation Games Keep Hospital Understaffed

2025: Supreme Court decision makes it easier for disabled students to sue school districts for bias

2025: DoH Coverup? Health Dep't Fines Hilo Medical Practice $2.19M for Minor Paperwork Violation

2024: CWS Called on Hawaii Home-School Mom

2024: Hawaii's Medicaid coverage for palliative care expected to save the state money

2024: Alaska and Hawaii Delegations Seek Medicare Reimbursement Flexibility for Rural Hospitals

2024: Reports show assisted suicide continues to grow in Hawaii

2024: Audit Exposes Widespread Payroll Cheating at State Hospital

2023: EMS lost $33M after failing to bill patients?

2023: Honolulu 'Equality' Score Jumps with Transgender 'Health' Benefits

2023: Queens Hospital Bum Flop Stays Full

2023: Maui Physician Charged with Unlawful Distribution of Hydrocodone

2022: 'Creating safe spaces for LGBTQ' -- DoE Signs Statewide K-12 Mental Tele-Health Contract

2022: Defamation trial begins in pregnancy porn promotion case

2022: Free Needles for Addicts: Hawaii Grade B for Hepatitis Elimination

2022: Despite plenty of potential cases, Hawaii lags in Medicaid fraud and abuse prosecutions

2022: Hawaii Supreme Court: Hawaii MDs Eligible for Enhanced Medicaid Payments

2022: Kaiser Hawaii Mental Health Accreditation Threatened

2022: How much profit are private labs earning from PCR testing?

2021: Elder Abuse: Hawaii Rankings Mixed

2021: NextHealth Fined $58K for Conducting COVID Testing

2021: Ethics: COVID Profiteering by DoH Employee

2021: How Many Deficiencies? 43 Hawaii Nursing Homes Ranked

2021: Hawaii Gives 1.18 million syringes to drug addicts

2021: $510K Fine for Yukio Okutsu Veterans Home

2020: Ethics: DoH Employee Fined $25K for Running Private Business on State Time

2020: Feds Bust DoH Lab Tech--Allegedly Making LSD During COVID outbreak

2020: Congress Restores Medicaid for COFA Citizens after 24 Years

2020: Hawaii: Obamacare Funnels Taxpayer Money To Cover Elective Abortions

2020: Hawaii Lowest Physician Medicare Acceptance Rate in USA

2020: Guam Ambulance Company Owners Sentenced to Prison for Their Roles in Medicare Ambulance Fraud Scheme

2020: Med Quest Junks Plan to Cancel 38,000 Kaiser Policies

2020: Hawaii Grade 'F' for Health Care Price Transparency Laws

2020: Ethics: HHSC Manager Retires, Goes to Work for Contractor

2020: Hawaii Medicaid Spending High, Quality Low

2020: DoH Orders Shutdown of Unlicensed Drug Treatment Centers

2019: DoH raids Two Unlicensed Care Homes

2019: Feds: Guam #1 for Medicare Ambulance Fraud

2019: Hawaii Doctors Least Likely to Accept Medicare

2019: Mental healthcare in Hawaii: Young minds at risk

2019: Feds Identify Hawaii's Six Worst Nursing Homes

2019: Patient Dumping Alleged at Adult Care Home

2019: DHS Audit: Significant Weaknesses and Deficiencies

2019: Health Department Audit: Material Weaknesses and Significant Deficiencies

2019: Medicaid Fraud: DHS Still Not Doing the Real Work

2019: Naming Names: Hawaii Politicians Profit from Sub-Minimum Wage Sweatshops for the Disabled

2019: Government-Funded Sweatshops: No Minimum Wage for Hawaii Disabled Workers

2019: SPED Parents Asked to Sign up for Medicaid

2018: $82K Per Bum: Hospitals Rake in $1.2B Treating Homeless Shelter-Refusers

2018: UH Study: Tweekers 15.1% of Emergency Room Traffic at Hawaii Hospital

2018: ​Medicaid waivers allowed for inpatient psychiatric treatment

2018: Years Later KOLEA System Still not 100% Compliant with Obamacare Requirements

2018: More Than 8 Cents of Each State Revenue Dollar Goes to Medicaid

2018: Report Ties Hawaii Youth Suicide Rate to HSTA Grab for HGEA Positions $100M/yr not billed

2018: Home Care Agencies must apply for State License

2018: Auditor Rips Health Department Oversight of Board and Care Homes

2018: How Medicare covers mental health

2017: US Senate Investigating Hawaii's Soaring Medicaid Costs

2017: Brian-Schatz-wants-to-put-you-on-Medicaid

2017: Hawaii: 22% of Medicare Patients got Opioids in 2016

2017: DOH fights lawsuit on their non-posting of inspection reports even as two bills in the Legislature again fund the posting

2017: Medicare Overbilling: Hawaii ranks 16th

2017:  Hawaii most racially integrated state (Except Healthcare)

2016: Hawaii Marks Nation’s Sharpest Drop in Hospital Readmissions

2016: Hawaii Medicare: 50% of Payments to be on Incentive Plan

2016: Pay for Performance: Budget Busting "Incentives" in Medicare Reform

2016: Lawsuit: Compel Department of Health to post long term care home inspection reports

2016: Interior Dept. Worsening Bad Situation for COFA Migrants

2016: Feds: After Losing Millions, Hawaii Medicaid Fraud Control Finally Improving

2016: BBB: Hawaii Ranks #2 for Scams

2016: Tutu Bert’s House to serve Homeless Discharged from Queen’s Hospital

2015: Ige: Feds Secretly Declared Hawaii Health Connector 'Non-Compliant' in February

2015: Almost 80% of Hawaii Obamacare Enrollees Have Failed to Pay Premiums in 2015

2015: HHSC, DoH: Nineteen special funds and two trust funds did not meet criteria

2015: Medicare Penalizes Maui Memorial, Pali Momi, Wahiawa General over Safety Incidents

2015: Ouch! Mounting Medicare Cuts Hurt Hawaii Hospitals

2015: Some States Pay Doctors More to Treat Medicaid Patients

2015: Hawaii to Fill Medicaid Fee Shortfall for Six Months

2015: DHS Gives Medicaid Doctors Six-Month Reprieve from 48% Pay Cut

2015: New Medicaid Enrollees: Many Need Addiction Treatment

2015: ADHD in Hawaii: 70% on Prescription Drugs, 61% Get 'Behavioral Therapy'

2015: Hawaii Disability Roll 12.5% Growth in 5 Years

2015: Former charity director indicted for theft

2015: Supreme Court to take up case involving alleged retaliation by powerful state senator

2015: Feds Demand their Money Back from Dysfunctional Hawaii Medicaid Fraud Unit

2014: Audit: Hawaii Medicaid Loses $67M/yr Due to Fraud, Waste, and Abuse

2014: Briefing: Doctors Discuss Challenge of Working With Medicaid

2014: New director takes over Hawaii’s troubled Obamacare exchange

2014: LA Times: Hawaii Health Connector Refused to Cough up Secret Budget

2014: Medicaid Waiver Approval Can Take Four Years

2014: Quarter of Hawaii’s population now on Medicaid

2014: With Asset Test Gone, Thousands Pile into Hawaii Medicaid

2014: Kaiser: 57% of Hawaii Uninsured Eligible for Medicaid

2013: Dentist Sentenced for Medicaid Fraud

2013: State Paying Xerox $54M to Check Obamacare EHR Fraud

2013: Mental Health: Can Reform Solve Hawaii’s Homeless, Prison and Unfunded Liability Problems?

2013: Clinic Owner: With Medicare and Medicaid, ‘Your Practice May Not Last Long’

2013: Open Letter: Hawaii MDs Challenge “Severely Dysfunctional” Medicaid Program

2013: Hawaii Welfare Recipients 2nd Healthiest in US: 75% Not Disabled

2012: Hirono-Refuses-to-Answer-for-Actions-Harmful-to-Hawaii

2012: Hire the Handicapped? Hawaii One of Only 5 States Without 'Medicaid Buy-In'

2012: Hawaii Medicaid Spends Least on Long Term Care

2011: Medicaid: Abercrombie sides with Big Business

2011: Obamacare: HMSA announces statewide scheme to cut costs

2011: Pay-for-Performance in Medicare Could Do More Harm Than Good

2011: DHS: Thousands of ghost names on Hawaii Medicare, Medicaid Rolls

2010: $400M Medicare/Medicaid scam run by parent of Ohana Health Plan

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