Austin, Texas, January 15, 2026
In a significant achievement, the Texas Attorney General’s Office has recovered over $125 million and secured 123 arrests related to healthcare fraud. The Medicaid Fraud Control Unit executed the largest enforcement action in U.S. history, leading to numerous arrests and indictments. Ongoing funding from federal and state sources has further bolstered efforts to combat fraud, with a commitment from Attorney General Ken Paxton to ensure accountability for fraudsters in Texas.
Austin, Texas – Attorney General Ken Paxton’s Office Recovers Over $125 Million and Secures 123 Arrests in 2025 Healthcare Fraud Enforcement
In 2025, under the leadership of Attorney General Ken Paxton, the Office of the Attorney General’s Medicaid Fraud Control Unit (MFCU) achieved significant results, recovering more than $125 million for the State of Texas and securing 123 arrests and 180 indictments related to healthcare fraud.
Largest Healthcare Fraud Enforcement Action in U.S. History
In June 2025, the MFCU played a pivotal role in the largest healthcare fraud enforcement action in American history. This operation led to criminal charges against 30 defendants involved in over a dozen fraudulent healthcare schemes in Texas. The schemes collectively accounted for more than $177 million in fraudulent billings nationally, $1.7 million in illegal kickbacks, and the unlawful diversion of over 10 million opioid pills.
Ongoing Efforts and Funding
Since 2020, the MFCU has recovered more than $1 billion in settlements, judgments, and restitution for Texas taxpayers. The MFCU receives 75% of its funding from the U.S. Department of Health and Human Services under a grant award totaling $22,792,664 for fiscal year 2024. The remaining 25%, totaling $7,597,553, is funded by the State of Texas. Over the last five years, the OAG’s MFCU has achieved an extraordinary return on investment for Texas taxpayers.
Statement from Attorney General Paxton
Attorney General Paxton emphasized the commitment to combating fraud, stating that in Texas, fraudsters will face stringent consequences. He highlighted the importance of strong program-integrity safeguards, close coordination with law enforcement partners, and proactive enforcement actions to identify and prosecute fraud early.
Background on the Medicaid Fraud Control Unit
The MFCU is a specialized unit within the Office of the Attorney General dedicated to investigating and prosecuting healthcare fraud and abuse. Its mission includes safeguarding taxpayer dollars and ensuring the integrity of healthcare programs in Texas. The unit collaborates with federal agencies, local law enforcement, and other stakeholders to address fraudulent activities effectively.
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Frequently Asked Questions (FAQ)
What were the key outcomes of the MFCU’s 2025 healthcare fraud enforcement efforts?
In 2025, the MFCU recovered over $125 million for the State of Texas and secured 123 arrests and 180 indictments related to healthcare fraud.
What was the significance of the June 2025 healthcare fraud enforcement action?
The June 2025 operation was the largest healthcare fraud enforcement action in U.S. history, resulting in criminal charges against 30 defendants involved in fraudulent healthcare schemes in Texas, totaling over $177 million in fraudulent billings nationally.
How is the MFCU funded?
The MFCU receives 75% of its funding from the U.S. Department of Health and Human Services under a grant award totaling $22,792,664 for fiscal year 2024, with the remaining 25% funded by the State of Texas.
What is the role of the MFCU?
The MFCU is dedicated to investigating and prosecuting healthcare fraud and abuse, safeguarding taxpayer dollars, and ensuring the integrity of healthcare programs in Texas.
Key Features of the 2025 Healthcare Fraud Enforcement Efforts
| Feature | Details |
|---|---|
| Amount Recovered | Over $125 million for the State of Texas |
| Arrests and Indictments | 123 arrests and 180 indictments related to healthcare fraud |
| Largest Enforcement Action | June 2025 operation resulting in charges against 30 defendants involved in fraudulent healthcare schemes totaling over $177 million in fraudulent billings nationally |
| Funding Sources | 75% from the U.S. Department of Health and Human Services and 25% from the State of Texas |
| Return on Investment | Extraordinary return on investment for Texas taxpayers over the last five years |
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