Vice President JD Vance warned Wednesday that states could lose federal funding if they fail to aggressively pursue Medicaid fraud, escalating the Trump administration’s pressure campaign on governors and state Medicaid officials.
"We are sending letters that will require them to show that they are effectively and aggressively prosecuting Medicaid fraud in their states. And if they do not, if they do not aggressively prosecute Medicaid fraud, we are going to turn off the money that goes to these anti-fraud units," Vance said during a fraud news conference Wednesday.
Vance said the federal government has provided states with "billions of dollars" for Medicaid Fraud Control Units and warned that funding could be cut off if states fail to comply with the crackdown. He pointed to states that have received billions of dollars in federal funding to protect against fraud but have yet to produce a conviction or indictment.
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