OKLAHOMA CITY (Aug. 4, 2026) – Attorney General Gentner Drummond is urging the U.S. House and Senate to pass two pieces of legislation that would expand the ability of states to investigate and prosecute Medicaid recipient fraud. He and 16 attorneys general sent a letter to the House Committee on Energy and Commerce and the Senate Committee on Finance about House Resolution 5364 and Senate Bill 4176. Both are known as the "STOP FRAUD in Medicaid Act."
"Every dollar stolen through Medicaid fraud is a dollar taken from taxpayers and from the vulnerable Oklahomans who depend on this program," Drummond said. "Congress should act quickly to give states the authority and tools they need to pursue fraud wherever it occurs. We must ensure Medicaid dollars are spent as intended and not diverted by those seeking to abuse the system."
Currently, federal restrictions on State Medicaid Fraud Control Units (MCFUs) limit the states to investigating and prosecuting Medicaid provider fraud. To protect these individuals and the program’s integrity, the "STOP FRAUD in Medicaid Act" would lift that restriction, giving MFCUs the same authority over recipient fraud that they already have over provider fraud.
The Department of Health and Human Services Office of Inspector General found that in 2025, MFCUs recovered $4.64 for every dollar spent by states and the federal government. For fiscal year 2025, almost $2 billion was recovered from criminal and civil cases combined. These convictions led to OIG exclusions of 900 individuals and entities from federal health care programs.
These recoveries and convictions have been achieved even though most states do not have federally funded MFCUs authorized to investigate and prosecute Medicaid recipient fraud. The passage of the "STOP FRAUD in Medicaid Act" will allow states to better safeguard taxpayer dollars and prevent fraud.
The following states joined Oklahoma in this letter: Alaska, Arkansas, Florida, Idaho, Indiana, Kansas, Kentucky, Louisiana, Mississippi, Missouri, Nebraska, New Hampshire, North Dakota, South Carolina, South Dakota and West Virginia.
