Feds Nail Biggest-Ever Medicare Scam More than 100 arrested in fraud sting By Rob Quinn, Newser Staff Posted Feb 18, 2011 6:20 AM CST 8 comments Comments Fraud suspect Valentina Kovalienko exits Brooklyn federal court after posting bail yesterday. (AP Photo/ Louis Lanzano) (Newser) – Federal agents swooped on health care facilities in nine states yesterday, arresting doctors, nurses, therapists, and health care executives accused of carrying out the biggest Medicare fraud ever seen. More than 100 people were involved in the scam, which bilked taxpayers out of up to $200 million by billing for procedures that were never performed, using the details of patients who took cash kickbacks, ABC reports. "With this takedown, we have identified and shut down large-scale fraud schemes operating throughout the country. We have safeguarded precious taxpayer dollars. And we have helped to protect our nation's most essential health care programs, Medicare and Medicaid," said Attorney General Eric Holder. "As today's arrests prove, we are waging an aggressive fight against health care fraud." A similar fraud ring run by Armenian gangsters was busted in October.