An Orange County man, Paul Richard Randall, 66, has been charged with aiding and abetting health care fraud. The federal complaint accuses him of submitting nearly $270 million in fraudulent claims to Medi-Cal over an 11-month period for unnecessary prescription drugs. These drugs reportedly contained generic ingredients that were often not provided to the intended recipients.
Randall appeared in the United States District Court in Los Angeles on Friday and was detained without bond. His arraignment is set for July 17. The charge carries a maximum penalty of 10 years in federal prison.
The announcement comes as part of the Justice Department’s 2025 National Health Care Fraud Takedown, which has led to charges against 324 defendants across various districts and states for their involvement in schemes amounting to over $14.6 billion in intended loss.
“This record-setting Health Care Fraud Takedown delivers justice to criminal actors who prey upon our most vulnerable citizens and steal from hardworking American taxpayers,” stated Attorney General Pamela Bondi.
United States Attorney Bill Essayli emphasized the importance of public health programs helping those in need rather than benefiting unscrupulous individuals.
According to an affidavit, Randall along with Kyrollos Mekail and Patricia Anderson exploited a temporary suspension by Medi-Cal of its prior authorization requirement for certain services or medications. This allowed them to bill tens of millions monthly through Monte Vista Pharmacy for high-reimbursement drugs that were medically unnecessary or not dispensed at all.
From May 2022 to April 2023, Monte Vista billed Medi-Cal more than $269 million, receiving over $178 million for expensive drugs that required no prior authorization under the old system but were allegedly unnecessary or unprovided.
Funds from this scheme were laundered by transferring proceeds to pay kickbacks and conceal transactions from law enforcement. Anderson faces charges related to her role in the scheme, while Mekail pleaded guilty last August and awaits sentencing.
The investigation is being conducted by HHS-OIG, FBI, and California's Department of Justice. The case is prosecuted by Assistant U.S. Attorney Roger A. Hsieh alongside others from the U.S. Department of Justice's Fraud Section.
