Two healthcare executives have been sentenced to 20 years in federal prison each after orchestrating a massive $233 million fraud scheme targeting Obamacare subsidies, according to theU.S. Department of Justice.
The convicted defendants, identified in court documents as Cory Lloyd of Stuart, Florida and Steven Strong of Mansfield, Texas, were found guilty of running a years-long operation that preyed on tens of thousands of vulnerable Americans, including individuals experiencing homelessness, addiction, and mental health struggles.
Federal prosecutors revealed that Lloyd and Strong:
By gaming the system, the pair sought more than $233 million in fraudulent ACA plan subsidies, with the federal government ultimately paying out at least $180 million in taxpayer-funded benefits tied to false enrollments.
Some of the individuals enrolled in these plans reportedly experienced serious disruptions in legitimate medical care, including treatment for opioid use disorder and infectious diseases, after being moved out of Medicaid coverage without their knowledge.
“Preying upon medically compromised consumers to rob hundreds of millions from taxpayer-funded programs is evil and unforgivable,”said Attorney General Pamela Bondi.
“Fraud schemes like this rob citizens and shake faith in our institutions — today’s sentencing is the latest example of this DOJ’s commitment to fighting fraud nationwide.”
“These defendants didn’t just commit fraud; they built a business model around exploiting people at their most vulnerable,”said FBI Director Kash Patel.
“They targeted vulnerable individuals in the community, manipulated federal health programs for profit, and put victims at risk of losing critical medical care so they could cash in. Stealing hundreds of millions of taxpayer dollars while endangering lives is as callous as it gets. The FBI and our partners will continue to track down and hold accountable anyone who treats vulnerable Americans as a payday,” Patel added.
Evidence presented at trial showed the defendants weren’t just collecting commissions — they were living large on the proceeds.
Source: The Gateway Pundit
