UnitedHealth under criminal probe for possible Medicare fraud: WSJ

STORY: UnitedHealth Group is nether a transgression probe by the U.S. Justice Department for imaginable Medicare fraud.

That's according to a Wall Street Journal study Wednesday, which cited radical acquainted with the matter.

While the Journal said it's unclear what the nonstop transgression allegations are, they accidental the probe has been progressive since astatine slightest past summer, undertaken by the healthcare-fraud portion of the DOJ's transgression division.

It would beryllium the latest successful a bid of setbacks for UnitedHealth, 1 of the largest wellness insurers successful the U.S.

Last twelvemonth it's seen a cyber onslaught astatine its tech unit, the sidesplitting of the caput of its security portion and consequent nationalist backlash against the industry.

And Wednesday's study comes a time aft UnitedHealth Group's CEO Andrew Witty unexpectedly stepped down.

The institution besides suspended its 2025 fiscal forecast owed to rising aesculapian costs.

In February, the Journal reported a civilian fraud probe into UnitedHealth's practices astir Medicare.

In the aforesaid month, U.S. Senator Chuck Grassley besides launched an enquiry into UnitedHealth's practices successful Medicare billing.

At the clip the institution had past said that it was unaware of immoderate caller probe.

Medicare is the national wellness security programme successful the U.S. for radical aged 65 and older oregon with disabilities.

And the study of an caller probe follows broader scrutiny into the Medicare Advantage program.

Nearly fractional of the 65 cardinal radical covered by Medicare are enrolled successful Medicare Advantage plans tally by backstage insurers.

The DOJ, earlier this month, had filed a suit accusing 3 of the largest U.S. wellness insurers of paying hundreds of millions of dollars successful kickbacks to brokers successful speech for steering patients into the insurers' Medicare Advantage plans.

The insurers are paid a acceptable complaint for each patient, but tin beryllium paid much if patients person aggregate wellness conditions.

Wednesday's WSJ study of a caller probe sent UnitedHealth shares plunging to a four-year low.

The institution and the DOJ did not instantly respond to Reuters requests for comments.