$100 Billion a Year in Medicare and Medicaid Fraud, Mainly in Blue States [WATCH]

Robert F. Kennedy Jr. said an estimated $100 billion is stolen each year from Medicare and Medicaid and outlined new efforts to detect and prevent fraud during a discussion with Theo Von.

Von asked Kennedy about what he discovered after reviewing operations within federal agencies.

“What were some of the biggest cases of fraud, like, when you got in there and got behind the curtain, see, like, you know, like the NIH, the EPA, like, just see what’s going on back there. What were some of the biggest cases of fraud that you kind of found?” Von asked.

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Kennedy pointed to Medicare and Medicaid as the largest sources of fraud.

“I mean, the biggest cases are, what were we got between Medicaid and Medicare? There’s about 100 billion stolen every year, and a lot of it is like what’s happening in Minnesota with the Somali community and what’s happening now, even worse in California,” Kennedy said.

He described what he called systemic issues within the programs.

“But you know, one of the problems is that that’s a systemic problem, is that Medicaid, Medicare now no longer. It used to be that they that they paid for your medical treatment, your doctor’s visit, but now they pay for the person who takes you to the doctor, and they pay for home care, and they pay for a person to come in and pay your bills, right? So there, there’s, there’s all kinds of opportunities for fraud,” Kennedy said.

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Kennedy criticized the Biden-Harris administration’s handling of the issue.

“The Biden administration turned a blind eye to all the fraud. It was mainly going to blues states, and it was an economic generator. There’s money pouring into the blue states, and they they just said, We’re gonna we know a lot of it’s stolen and illegal, but we’re gonna let it happen, because it’s coming to us. It’s coming to our state,” he said.

Kennedy explained that Medicare is under federal control while Medicaid is largely managed by states, making enforcement more complex in some cases.

“And so what we’ve done now is with Medicare. We control Medicare. The States control a lot of Medicaid, so it’s harder, a little harder, for us to detect fraud there, we’ve started out with Medicare,” Kennedy said.

He said new technology is being used to flag fraudulent claims before payments are issued.

“We’re using AI, and we’re using AI, which can detect the fraud. You know it can detect it can tell us whether this guy who is who we’re paying has been convicted of fraud before, and we shouldn’t be paying him again, and it will be telling, telling us every aspect of his business that we need to know to understand whether it’s fraudulent,” Kennedy said.

Kennedy said the new system would produce significant savings.

“So we’re going to save, just this year, 10s of billions of dollars and eliminate fraud in Medicaid,” he said.

He also described what he said was the prior system under the Biden-Harris administration.

“They used to pay it under the Biden administration, the system was called Pay and chase. So if they sent in a fraudulent invoice, we even if we knew it was the HHS knew it was fraudulent, they would pay it, and then they would put the inspector general to go claw it back. And of course, it wasn’t there. But they so they never covered anything,” Kennedy said.

He said that practice would no longer continue.

“Now we’re not going to pay them anymore. If they’re fraudulent, they’re going to get they’re not going to get a check. We’re going to save 10s of billions of dollars just this year, and we’re going to save hundreds of billions over, you know, annually from now on,” Kennedy said.

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