U.S. Treasury Announces New Whistleblower Initiative Targeting Fraud Under Government Healthcare Programs
On March 30, 2026, the U.S. Treasury Department announced a new whistleblower initiative focused specifically on targeting fraud under Medicare, Medicaid, and other government healthcare programs. While the U.S. Treasury’s new initiative was spurred by the ongoing investigations in Minnesota, it is accepting whistleblower complaints from individuals nationwide.
The U.S. Treasury is also encouraging healthcare fraud whistleblowers to come forward through other means when warranted. In a section of its announcement titled, Reporting Healthcare Fraud: How to Submit a Tip, the U.S. Treasury writes:
“In February [of 2026], FinCEN launched a new dedicated webpage to confidentially accept whistleblower tips on fraud, money laundering, and sanctions violations. [Members of] the public are encouraged to report any tips or complaints about potential fraud, waste, abuse, and mismanagement involving HHS programs to HHS-OIG. Victims of cyber-enabled health care fraud schemes should file a complaint with the FBI’s Internet Crime Complaint Center or file a report with their nearest FBI field office.”
Healthcare fraud whistleblowers may be able to come forward (and may benefit from coming forward) through other means as well. For example, reporting healthcare fraud as a whistleblower has traditionally involved filing a qui tam complaint under the federal False Claims Act. This remains an option, and the False Claims Act includes provisions for both protecting and compensating eligible whistleblowers.
What Constitutes “Healthcare Fraud” (and Who Can Report It)?
Healthcare fraud can take many different forms, and whistleblowers can report all forms of healthcare fraud to the federal government. In Minnesota and other states, the U.S. Treasury and other federal authorities are focused primarily on “government benefits fraud schemes” that have reportedly cost taxpayers billions of dollars in recent years. This includes schemes that involve securing payments under Medicare and Medicaid based on fraudulent reimbursement claims—including claims for services that have not been rendered; and, in some cases, claims filed on behalf of non-existent entities and providers.
But, while these types of fraud do exist, the evidence suggests that they account for a relatively small portion of the total fraud committed under Medicare, Medicaid, and other federal healthcare programs. Legitimate healthcare providers and other entities can—and do—commit healthcare fraud as well. According to various estimates, each year U.S. taxpayers lose somewhere in the range of $60 billion to $100 billion to fraudulent billing practices such as:
- Billing for services that do not qualify as “medically necessary” under the Medicare and Medicaid billing guidelines (i.e., cosmetic procedures or alternative treatments)
- Billing for services not rendered or items not purchased or provided (i.e., billing the government for gauze or durable medical equipment that a healthcare provider did not actually purchase)
- Billing errors and discrepancies under Medicare, Medicaid, and other programs (i.e., upcoding, unbundling, and double-billing the government and private payors)
- Falsifying patient records or billing records (i.e., misrepresenting a patient’s diagnosis or the services provided in order to bill the government at a higher rate)
- Anti-Kickback Statute and Stark Law violations (i.e., paying illegal referral fees to clinics or healthcare providers, or making unlawful payments for physician “self-referrals”)
These are just examples. The U.S. Treasury is actively working with the U.S. Department of Justice (DOJ), Federal Bureau of Investigation (FBI), Drug Enforcement Administration (DEA), and other federal law enforcement authorities to expose and prosecute all forms of federal healthcare fraud. But, while these authorities have substantial resources at their disposal, they still rely heavily on whistleblowers to come forward. This includes relying on individuals such as:
- Current and former employees of hospitals, clinics, toxicology laboratories, and other healthcare providers
- Current and former employees of pharmaceutical companies, durable medical equipment (DME) companies, and other entities involved in the federally funded healthcare industry
- Citizen-journalists, patients, family members, and other individuals who have (or suspect they may have) information about healthcare fraud
All of these individuals may be eligible to serve as healthcare fraud whistleblowers under the False Claims Act or one of various federal whistleblower programs. These programs include:
- DOJ’s Whistleblower Program – The DOJ is currently administering a Corporate Whistleblower Award Pilot Program aimed at exposing healthcare fraud as well as other forms of corruption, bribery, and corporate wrongdoing. Under this whistleblower program, eligible individuals can receive up to 30% of the first $100 million the DOJ recovers and up to 5% of amounts between $100 million and $500 million.
- FinCEN’s Whistleblower Program – FinCEN, which is a bureau within the U.S. Treasury, also accepts whistleblower complaints involving certain types of corporate violations. As discussed in the U.S. Treasury’s announcement, FinCEN has recently proposed a new set of regulations that will allow for whistleblowers to receive up to 30% of any criminal penalties recovered in excess of $1 million.
- HHS–OIG’s Whistleblower Program – As noted above, whistleblowers can also report fraud, waste, and abuse under federal healthcare programs to HHS-OIG. However, HHS-OIG does not issue whistleblower awards directly. Instead, whistleblowers who are interested in working with HHS-OIG will generally need to come forward in accordance with the qui tam provisions of the False Claims Act.
Due to the variety of options that are available—and the importance of choosing the most appropriate option under the circumstances at hand—we strongly recommend that all prospective healthcare fraud whistleblowers seek legal representation. For those who decide to come forward, it will be important to strictly comply with the relevant filing requirements, and this generally requires experienced legal representation as well.
How Can I Report Healthcare Fraud to the Federal Government (and Obtain a Whistleblower Award)?
Let’s say you have information about healthcare fraud, and you are prepared to work with the government to hold those involved fully accountable. How do you come forward?
As we alluded to above, the specific steps you need to take depend on the most appropriate means of coming forward under the circumstances at hand. The DOJ, FinCEN, and HHS-OIG all have their own specific procedures for filing complaints under their whistleblower programs, and filing a qui tam complaint under the False Claims Act is a unique process of its own.
If you are prepared to come forward (or think you might be prepared to come forward), it is imperative that you choose your next steps carefully. There are three critical reasons why:
1. You Need to Establish Your Eligibility for Whistleblower Protections
Under the False Claims Act and various other federal statutes, whistleblowers are entitled to two key protections: (i) strict confidentiality; and, (ii) protection against retaliation. However, to receive these protections, whistleblowers must come forward through the appropriate means.
2. You Need to Establish Your Eligibility for Whistleblower Compensation
When choosing how to come forward, healthcare fraud whistleblowers should seek to ensure that they will be eligible to receive a monetary award if the information they provide leads to a successful enforcement action. Here too, the requirements vary between the various means of coming forward.
3. Coming Forward Correctly Will Help Maximize the Government’s Chances of Success
Finally, by ensuring that they come forward correctly, whistleblowers can help maximize the government’s chances of success. As noted above, healthcare fraud costs U.S. taxpayers billions of dollars annually, and holding scammers and other wrongdoers accountable is essential for both recovering taxpayer losses and helping to prevent additional taxpayer losses in the future.
It is important to keep in mind that, in all cases, there are various other requirements for coming forward as a healthcare fraud whistleblower as well. For example, whistleblowers must generally be able to provide the government with “original information,” and their information must relate to a violation of federal law for which the applicable statute of limitations has not expired.
Exposing Healthcare Fraud Will Be a Top Federal Priority Throughout 2026 and Beyond
As the U.S. Treasury’s recent announcement makes clear, exposing healthcare fraud is a long-term priority for the federal government. This means that while the U.S. Treasury and other federal authorities are encouraging whistleblowers to come forward in 2026, whistleblowers will continue to have the opportunity to come forward well into the future.
With this in mind, we encourage anyone who has (or believes they may have) information about healthcare fraud to contact us promptly for a free and confidential consultation. If you have questions about what it takes to serve as a healthcare fraud whistleblower, we invite you to get in touch as well. Our lawyers are available to assist individuals who are prepared to come forward at any point in time, and we provide whistleblower representation at no out-of-pocket cost to our clients.
Schedule a Free Consultation with a Healthcare Fraud Whistleblower Lawyer at Oberheiden P.C.
Do you have questions about exposing healthcare fraud to the federal government? Whether you are a current or former employee, a citizen-journalist, or you have information about suspected healthcare fraud through any other means, we strongly encourage you to get in touch. We represent healthcare fraud whistleblowers throughout the United States. To schedule a free and confidential consultation with an experienced healthcare fraud whistleblower lawyer as soon as possible, call us at 888-680-1745 or tell us how we can reach you online today.
Dr. Nick Oberheiden, founder of Oberheiden P.C., focuses his litigation practice on white-collar criminal defense, government investigations, SEC & FCPA enforcement, and commercial litigation.