U.S. Healthcare Fraud Takedown: Nigerian-American Olatunbosun Osukoya Indicted in $14.6 Billion Medicare Scam

The United States Department of Justice (DOJ) has announced the indictment of 67-year-old Nigerian-American Olatunbosun Osukoya, alongside 323 other individuals, in what is being described as the largest nationwide crackdown on health care fraud in U.S. history. The sweep, known as the 2025 National Health Care Fraud Takedown, unfolded between June 9 and June 30, 2025, and spanned 50 federal districts and 12 state attorney general offices. The operation targeted schemes responsible for over $14.6 billion in alleged intended losses to federal and private health care programs.

While the potential fraud exceeded $14 billion, investigators estimate the actual losses to government programs at approximately $2.9 billion. In a significant show of enforcement, authorities also prevented more than $4 billion in fraudulent payments through proactive measures led by the Centers for Medicare & Medicaid Services (CMS). The operation resulted in the seizure of over $245 million in cash, luxury vehicles, real estate, and cryptocurrency linked to illicit gains.

Among those charged, Osukoya, who resides in Plano, Texas, owned a business called Ayo Biometrics LLC, operating under the name Cambridge Diagnostics. According to prosecutors, he orchestrated a scheme to submit over $25 million in fraudulent claims for electroencephalogram (EEG) testing to federal health programs like Medicare and TRICARE, as well as private insurers. Authorities allege he recruited insured individuals for expensive, medically unnecessary tests and paid kickbacks to doctors and other professionals disguised as loans, consulting fees, or director payments. Insurers ultimately paid more than $5 million on these false claims, with roughly $450,000 allegedly funneled back as illegal kickbacks. If found guilty, Osukoya faces a potential sentence of up to 20 years in federal prison.

This takedown underscores the sweeping nature of health care fraud in the United States. The DOJ revealed that nearly 100 licensed medical professionals, including 25 doctors, were implicated in various schemes ranging from unnecessary genetic testing to telemedicine scams, fraudulent wound treatments, and a $10.6 billion urinary catheter fraud cartel that exploited stolen patient identities and shell companies to drain Medicare funds. This cartel alone affected more than one million Americans.

Other targets included opioid “pill mills,” staged accident frauds, and schemes involving medical equipment like kidney braces—all contributing to siphoning billions from government and private insurance systems. Federal officials stressed that such fraud not only drains taxpayer dollars but also places patients’ health at significant risk, as unnecessary or substandard medical services are often performed merely to generate fraudulent claims.

The DOJ, alongside the Department of Health and Human Services Office of Inspector General (HHS-OIG), credited advanced data analytics and robust interagency cooperation for detecting and dismantling these networks. As part of the crackdown, CMS revoked the billing privileges of 205 providers connected to fraudulent activities, further aiming to protect U.S. health care systems from future exploitation.

This historic enforcement action highlights the U.S. government’s unwavering commitment to safeguarding health care programs from complex and costly fraud schemes, sending a strong message to potential perpetrators both domestically and abroad.