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Monday, November 2, 2026

Billion Dollar Addiction Pipeline: Fraudsters Traded Homeless Souls For Cash, Dumped Them in CA

I've always said that most of the California homeless are from out- of- state & this just further supports my contention. 

Federal prosecutors announced a massive 1.6 billion health care and patient-trafficking scheme in which operators lured thousands of homeless individuals struggling with addiction to California.

The Scheme and Defendants

Key Defendants: David Young, Nathan Young, Honey Phipps, and Cody Phipps.

Tactics: Recruiters, known as body brokers, used free plane tickets, groceries, cash, and drugs to entice at least 6,000 homeless addicts from out of state into California.

Operations: Victims were enrolled in fraudulent, lucrative private health insurance policies and cycled through rehab facilities such as Rodeo Recovery and Get Real Recovery.

Abuse: Patients experienced fake therapy, such as large, generic Zoom calls, forced drugging, confinement, and eventual abandonment on California streets after insurance payouts were wrung dry.

Financial Scale: The group billed private insurers over 1.6 billion and pocketed more than 210 million over six years.

Read more about the charges via the New York Post: https://nypost.com


https://www.google.com/search?q=Fraudsters+lured+homeless+addicts+to+California+with+free+flights%2C+groceries+and+more%3A+feds&client=ms-opera-mini-android&channel=new