Regulatory

U.S. Government Expands Health Care Fraud Unit in New England

U.S. Justice Department is specifically targeting scams in Massachusetts.

By: Michael Barbella

Managing Editor

Photo: vchat/Shutterstock.

Uncle Sam is about to crack down on healthcare swindlers in Massachusetts.

The U.S. Justice Department’s Criminal Division is expanding its Health Care Fraud Unit’s New England Strike Force to the Bay State. The expansion provides enhanced federal enforcement resources to one of the most significant U.S. healthcare and life sciences hubs.

“Boston is home to world-class healthcare institutions, cutting-edge life sciences innovators, and a robust healthcare startup ecosystem, making it one of the most influential and active regions in the national healthcare landscape,” said Acting Assistant Attorney General Matthew R. Galeotti of the Justice Department’s Criminal Division. “The expansion of the New England Strike Force to Boston will ensure that we are focused, efficient, and coordinated in our efforts to root out both individual and corporate bad actors engaged in criminal misconduct in the healthcare marketplace.”

The U.S. Attorney’s Office in Massachusetts has successfully investigated and prosecuted healthcare fraud, including complex cases involving pharmaceutical and medical device companies, providers, and executives. In FY 2025, the U.S. Attorney’s Office’s Health Care Fraud Unit and Affirmative Civil Enforcement Unit recovered more than $450 million in fraudulently obtained funds. Building on the U.S. Attorney’s Office’s track record and the success of the Criminal Division’s Health Care Fraud Unit’s specialized prosecutors and data-driven, multi-agency Strike Force model, the Department is deploying a powerful force multiplier, allowing it to accelerate the detection, investigation, and prosecution of complex fraud schemes throughout Massachusetts.

“The U.S. Attorney’s Office in Massachusetts has a long history of leading the nation in healthcare fraud enforcement,” said U.S. Attorney Leah B. Foley for the District of Massachusetts. “The unique partnership between our criminal and civil healthcare fraud enforcement matters has led to groundbreaking and historic enforcement success and industrywide changes. The Office has cracked down on fraud committed by pharmaceutical companies and medical device manufacturers as well as unethical doctors and corporate executives who put greed ahead of patient safety and steal from government programs. The Strike Force model will act as a force multiplier, increasing resources and promoting even greater successes.”

As part of the expansion, the New England Strike Force—launched in June 2022 and led by Fraud Section Assistant Chief Kevin Lowell—will coordinate closely with the U.S. Attorney’s Office’s Health Care Fraud Unit, led by Chief Mackenzie Queenin. In addition to the FBI, HHS-OIG and FDA, the Strike Force will partner with the Drug Enforcement Administration, Homeland Security Investigations, the Department of Veterans Affairs Office of Inspector General, IRS Criminal Investigation, and key state agencies, including the Medicaid Fraud Control Unit of Massachusetts and the Insurance Fraud Bureau of Massachusetts.

“Healthcare fraud costs taxpayers tens of billions of dollars every year, whether it is through the unlawful diversion of federal program funds or powerful prescription drugs,” said Special Agent in Charge Ted E. Docks of the FBI’s Boston Field Office. “That is why the FBI is working day in and day out to root out those who place a greater value on profits than they do on the well-being of patients. We welcome the expansion of the New England Strike Force to Massachusetts as we continue to work with our partners to hold anyone fleecing the U.S. government accountable.”

By establishing a strategic partnership with Massachusetts, the Justice Department’s Health Care Fraud Unit is building on a historic enforcement year, which to date has included the largest-ever National Health Care Fraud Takedown in June. In addition, the Unit has significantly expanded its focus on corporate accountability, resolving cases against companies engaged in systemic fraudulent conduct, including recent corporate resolutions with the Kimberly-Clark Corporation and Troy Health Inc. 

“The expansion of the New England Health Care Fraud Strike Force into Boston further strengthens our capacity to protect Medicare and Medicaid from criminal networks,” stated Deputy Inspector General for Investigations Christian J. Schrank of the Department of Health and Human Services Office of Inspector General (HHS-OIG). “As a national hub for healthcare innovation, Boston presents both promise for HHS initiatives and increased exposure to sophisticated complex fraud schemes. This strategic expansion underscores our commitment to deploying investigative expertise where the stakes are highest, working in close collaboration with law enforcement partners to advance fraud detection, dismantle criminal schemes, and hold wrongdoers accountable.”

“Protecting the public from harm caused by criminal misconduct involving drugs and medical devices is a priority for the Food and Drug Administration (FDA),” said Special Agent in Charge Fernando McMillan of the FDA Office of Criminal Investigations New York Field Office. “The expansion of the Strike Force into Boston, a vital hub for life sciences, will enable more robust and coordinated efforts to dismantle criminal networks that introduce unlawful medical products into the market, ultimately protecting patient health and trust in our healthcare system.”

The Fraud Section leads the Criminal Division’s efforts to combat healthcare fraud through the Health Care Fraud Strike Force Program, which was launched in March 2007.

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