Department of Justice announces major health care fraud takedown

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Ellison C. Travis, U.S. Attorney for the Middle District of Louisiana | Department of Justice

Department of Justice announces major health care fraud takedown

Acting United States Attorney Ellison C. Travis has announced criminal charges against two individuals in connection with alleged schemes to defraud government benefit programs. These charges are part of the Department of Justice’s 2025 National Health Care Fraud Takedown.

“We are taking significant strides in our ongoing battle against health care fraud within the Middle District of Louisiana. These fraudulent activities not only undermine the integrity of our health care system, but also jeopardize the well-being of countless patients who rely on these essential services," stated Acting U.S. Attorney Travis. "Our office is committed to holding accountable those who seek to exploit vulnerable individuals for personal gain."

Attorney General Pamela Bondi commented on the operation, stating, “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.”

The nationwide law enforcement action resulted in criminal charges against 324 defendants for their alleged involvement in health care fraud and illegal drug diversion schemes involving over $14.6 billion in alleged false billings and more than 15 million pills of illegally diverted controlled substances. In connection with the takedown, authorities seized over $245 million in cash, luxury vehicles, and other assets.

In the Middle District of Louisiana, Cody Hulbert and Britney McCoy were charged by indictment for their roles in fraudulent schemes involving Paycheck Protection Program (PPP) applications among others. Hulbert allegedly obtained at least approximately $51,474 from fraudulent PPP applications, while McCoy is accused of seeking and obtaining at least approximately $22,884 in PPP funds through false applications.

“The scale of today’s takedown is unprecedented,” said HHS-OIG Acting Inspector General Juliet T. Hodgkins. “Individuals who attempt to steal from the federal health care system and put vulnerable patients at risk will be held accountable.”

DEA New Orleans Acting Special Agent in Charge Michael J. Arnett emphasized their commitment to accountability: “These charges highlight our unwavering commitment to holding accountable those who illegally divert controlled substances.”

The cases involved are being prosecuted by Assistant U.S. Attorney Kristen L. Craig and Trial Attorney Gary A. Crosby II.

An indictment is merely an allegation; all defendants are presumed innocent until proven guilty beyond a reasonable doubt.