Hospice Boasts 97% Survival Rate—FBI Raids Immediately

Federal agents bust a California hospice boasting a 97% survival rate for “terminal” patients, exposing a $50 million Medicare scam that drained taxpayer dollars meant for America’s truly dying.

Story Snapshot

FBI arrests married couple Gladwin and Amelou Gill for running St. Francis Palliative Care with impossible 97% five-year survival rate, billing Medicare up to $7.45 million for fake services.
Operation Never Say Die targets $50-60 million in fraud across Southern California hospices enrolling healthy patients for illicit cash kickbacks.
CMS under Dr. Mehmet Oz flags sky-high survival rates as blatant fraud signals, protecting funds from sham operations.
Eight arrested, 15 charged total, in crackdown validating aggressive enforcement against healthcare waste.

97% Survival Rate Triggers Massive Fraud Probe

FBI SWAT teams executed early morning arrests on Thursday in San Dimas, California, targeting Gladwin Gill, a psychologist, and his wife Amelou, a registered nurse. The couple operated St. Francis Palliative Care, also known as 626 Hospice, which reported a staggering 97% patient survival rate after five years. Hospice care serves terminal patients expected to die soon, making this figure a glaring red flag for investigators. Authorities accuse them of enrolling ineligible patients and billing Medicare $5.2-7.45 million for unneeded or phantom services. The facility used multiple names to obscure operations, exploiting medical credentials to dodge scrutiny.

Operation Never Say Die Exposes $50 Million Medicare Heist

Federal prosecutors unveiled charges against eight defendants, part of 15 total, in a coordinated Southern California sweep dubbed Operation Never Say Die. Facilities in San Dimas, Glendale, Covina, and Anaheim allegedly submitted $50-60 million in false Medicare claims. Defendants paid cash kickbacks for patient referrals and lured healthy individuals with incentives like $300 monthly payments. Repeat offender Nita Palma ran three fraudulent hospices even while incarcerated for prior scams. Prosecutors call it turning Medicare into a cash grab, undermining care for legitimate end-of-life patients.

Key Defendants and Their Schemes

Lolita Minerd operated an Anaheim hospice with an 85% survival rate, nearly five times the national non-death discharge average of 17-18%, billing over $9 million. The Gills laundered proceeds through personal expenses like mortgages and flights. Adolfo Catbagan aided Palma’s operations despite her prison stint. Ivan Verne Lauritzen’s Valley Pacific Hospice lost its license after audits revealed excessive live discharges and half a million in false claims. Defendants hid behind family identities and stolen credentials to sustain the fraud network.

CMS and Federal Pushback Protects Taxpayers

CMS Administrator Dr. Mehmet Oz, a Trump appointee, declared low mortality rates one of the clearest signs of hospice fraud, spotlighting operations not serving the dying. FBI and DOJ coordinated with state efforts, where Attorney General Rob Bonta pursued over 100 criminal cases. This crackdown disrupts sham facilities, removes bad actors, and signals tighter oversight. Taxpayers lost millions to these schemes, eroding trust in healthcare while delaying real patients’ access. Enhanced statistical monitoring promises long-term safeguards against such abuses.

Impacts on Families and Fiscal Responsibility

Short-term, fraudulent closures risk service gaps for any legitimate enrollees, while operators face prosecution and restitution. Legitimate providers brace for heightened audits, a necessary burden to root out waste. Economically, recouping $50-60 million bolsters Medicare solvency amid past fiscal mismanagement. Socially, these scams taint end-of-life care, deterring families in need. Politically, the operation underscores federal commitment to fraud elimination, aligning with conservative priorities of limited government spending and accountability in entitlements.