New DOJ fraud division disrupts $340M in fraud schemes

The new anti-fraud division of the Justice Department, which recently commenced operations, is already cracking down on fraud that is estimated to be costing federal programs more than $340 million, according to officials quoted by the Associated Press.

"The National Fraud Enforcement Division, established only last month, has made an initial push, focusing its efforts not only on the COVID-era fraud wave but on health care and unemployment fraud schemes. The division said it recovered or obtained restitution in excess of $10 million," the Justice Department stated in a press release.

One of the biggest cases handled by the new division so far was the sentencing of the defendant accused of being involved in the child nutrition fraud scheme that has cost more than $250 million. More defendants involved in the fraud have been ordered to compensate the government for their losses.