News Summary
The Department of Justice has launched the largest healthcare fraud takedown in U.S. history, with two significant cases from South Carolina. Over 324 individuals were charged for involvement in fraud and illegal drug schemes, amounting to over $14.6 billion in false billings. High-profile cases include Tina Marie Armstrong and Dee Alice Moton, both facing serious charges. This initiative aims to combat healthcare fraud and ensure transparent use of public funds.
South Carolina Cases Highlight DOJ’s Largest Healthcare Fraud Takedown
Columbia, SC – The Department of Justice (DOJ) has announced the largest healthcare fraud takedown in U.S. history, which includes two significant cases from South Carolina. During a press conference, South Carolina Attorney General Alan Wilson, alongside his North Carolina counterpart Jeff Jackson and other officials, detailed the scope of the nationwide crackdown.
Approximately 324 individuals have been charged across the country for their involvement in healthcare fraud and illegal drug diversion schemes. The fraudulent activities are alleged to involve over $14.6 billion in false billings and the illegal distribution of more than 15 million pills of controlled substances. The DOJ has also seized assets exceeding $245 million, which includes cash, luxury vehicles, and various properties linked to the illegal activities.
Overview of South Carolina Cases
Among those charged in connection to the nationwide investigation, Tina Marie Armstrong, 67, from Florence, SC, is the first defendant cited in the state. Armstrong faces multiple charges, including healthcare fraud and aggravated identity theft. It has been revealed that her company, Safe at Home Medical Equipment and Supplies, LLC, submitted fraudulent claims to Medicare and Medicaid totaling $198,981.55. Out of this amount, $104,577.74 was allegedly paid out, raising concerns about systemic abuses within the healthcare system.
The case against Armstrong is being prosecuted by Assistant U.S. Attorney Winston Holliday, who is tasked with bringing the alleged fraud to justice.
The second South Carolina-related indictment involves Dee Alice Moton, 51, from Hephzibah, GA, who is charged with healthcare fraud for billing the Veterans Administration more than $2.3 million for services that were never actually provided. Moton operated a massage therapy business called Flowing Hands Massage Clinical Therapy in Aiken, SC. The allegations against her include submitting fraudulent claims for unauthorized services, including billing for wheelchair therapy provided to a veteran who does not even use a wheelchair.
Moton’s case is being prosecuted by Assistant U.S. Attorneys Scott Matthews and Amy Bower, as part of the broader initiative to address healthcare fraud at both local and national levels.
Impact of Healthcare Fraud
As highlighted by U.S. Attorney Bryan Stirling, healthcare fraud poses serious risks to taxpayers and vulnerable populations, most notably veterans who depend on reliable and legitimate care. The DOJ’s initiative serves to protect these groups while also ensuring that public funds are utilized properly and in the best interest of those who need medical services.
Background of the Takedown Initiative
This nationwide crackdown is part of the DOJ’s larger 2025 National Health Care Fraud Takedown initiative, aimed at comprehensively addressing and curtailing fraudulent practices that drain resources from valid healthcare services. The scale of this takedown underscores the DOJ’s commitment to combating fraud and protecting the integrity of the healthcare system.
As investigations continue, authorities are reminding the public about the importance of reporting suspicious activities related to healthcare services. The DOJ, through this significant initiative, aims to ensure accountability and transparency within the healthcare sector, making it more difficult for fraudsters to exploit the system.
Deeper Dive: News & Info About This Topic
HERE Resources
Luigi Mangione Maintains Innocence in Murder Case
Big Changes on the Horizon for Federal Death Row Inmates as Biden Weighs Commutations
Top 5 Criminal Lawyers in Lexington SC You Can Count On
Find the Best Lawyers in Lexington SC – Your Guide to Top Legal Representation
Additional Resources
- WIS TV
- Wikipedia: Healthcare Fraud
- WPDE
- Google Search: healthcare fraud takedown 2025
- WBTV
- Google Scholar: healthcare fraud
- Spectrum Local News
- Encyclopedia Britannica: Healthcare Fraud
- WCNC
- Google News: healthcare fraud takedown
Author: STAFF HERE LEXINGTON WRITER
The LEXINGTON STAFF WRITER represents the experienced team at HERELexington.com, your go-to source for actionable local news and information in Lexington, Fayette County, and beyond. Specializing in "news you can use," we cover essential topics like product reviews for personal and business needs, local business directories, politics, real estate trends, neighborhood insights, and state news affecting the area—with deep expertise drawn from years of dedicated reporting and strong community input, including local press releases and business updates. We deliver top reporting on high-value events such as Woodland Art Fair, Crave Food and Music Festival, and Railbird Festival. Our coverage extends to key organizations like Commerce Lexington and Blue Grass Community Foundation, plus leading businesses in education, manufacturing, and technology that power the local economy such as University of Kentucky, Toyota Motor Manufacturing, and Lexmark. As part of the broader HERE network, including HEREBowlingGreen.com and HERELouisville.com, we provide comprehensive, credible insights into Kentucky's dynamic landscape.
