Fraud could be the last nail in the coffin for Gavin Newsom’s presidential hopes
Fraud could be the last nail in the coffin for Gavin Newsom’s presidential hopes
Gavin Newsom wants to be president so badly that it is painful to watch. His struggles — and his desperation — flow in part from his many failures as California’s governor. But his biggest challenge could be growing revelations of welfare fraud in his state.
Bogus hospice operations, stolen unemployment insurance, student aid scams, missing housing funds and a host of other lapses have reportedly cost taxpayers tens of billions of dollars, bringing federal investigations and embarrassing oversight to the Golden State.
Newsom’s administration has responded by ramping up its own policing of the state’s welfare programs. In recent days, state Attorney General Rob Bonta announced he was bringing charges against 14 hospice companies that had billed Medi-Cal and Medicaid for $267 million in nonexistent services.
But that only happened after podcaster Nick Shirley and Centers for Medicare and Medicaid Services Administrator Dr. Mehmet Oz posted incriminating videos about the blatant fraud in his state. In one such video, Oz narrated a drive through the Van Nuys neighborhood of Los Angeles, saying, “In this four block area of Los Angeles there are 42 hospices. … So either there are a lot of people dying here, or you got a fraudulent activity that is so good that everyone wants to get in on it.”
Fraud is not California’s only issue, to be sure. Newsom has overseen one financial disaster after another.
Topping the list is the much-touted $126 billion high-speed rail project that is almost 20 years late and nearly 400 percent over-budget. Meanwhile, the rebuilding of fire-ravaged neighborhoods in Los Angeles cannot seem to move forward thanks to unreasonable regulations and permitting requirements. The state’s recurring budget deficits drive taxes higher. Regulatory overreach and unreasonable climate policies make California one of the most expensive places in the country to........
