California Gov. Gavin Newsom has thrown down the gauntlet in a heated clash with a top Trump administration official over accusations of health care fraud in Los Angeles.
Newsom’s office announced Thursday that it filed a civil rights complaint with the U.S. Department of Health and Human Services against Centers for Medicare and Medicaid Services Administrator Dr. Mehmet Oz. The dispute stems from a social media video posted earlier this week, where Oz alleged widespread hospice and home care fraud in Los Angeles, specifically pointing to the Armenian community. The complaint accuses Oz of discrimination, claiming his remarks have caused tangible harm to local businesses, including an Armenian bakery featured in the video.
The issue has circulated on social media with Newsom and Oz trading sharp barbs over multiple days. This feud marks yet another chapter in the ongoing tension between Newsom and the Republican administration of President Donald Trump. Their past clashes include disputes over National Guard deployments in Los Angeles and California’s pioneering 2035 ban on new gas-powered vehicles.
In the video, Oz toured the Van Nuys neighborhood of Los Angeles, zeroing in on a four-block radius he claimed housed 42 hospices, hinting at fraudulent activity. He alleged a staggering $3.5 billion in hospice and home care fraud across the city, standing in front of a building with an Armenian bakery as he spoke.
According to AP News, Oz’s remarks took a pointed turn when he claimed “quite a bit of it” was orchestrated by what he called “the Russian Armenian mafia.” That label has drawn intense scrutiny, especially given the historical tensions between Turkey, where Oz’s parents emigrated from, and Armenia, which still lacks formal diplomatic ties with its neighbor.
Newsom’s office didn’t hold back, asserting that Oz “spewed baseless and racially charged allegations” that could deter community members from accessing vital hospice and home care programs. The damage, they argue, is already evident with reduced business at the bakery shown in the video. It’s a claim that suggests words can hit as hard as policy.
Newsom pushed back on social media, highlighting California’s own efforts to combat fraud by revoking over 280 hospice licenses and banning new ones since 2022. That’s a hefty number, and it raises questions about why Oz felt the need to single out a specific community if the state is already on the case.
The lack of detailed evidence from Oz or CMS to back up the video’s claims only fuels skepticism. Without hard data, these allegations risk painting entire neighborhoods with a broad, unfair brush—a tactic that rarely solves problems and often inflames them.
This isn’t just a local spat; it fits into a broader Trump administration push to spotlight fraud nationwide. Look at the recent Minneapolis case, where fraud allegations tied to Somali-run day care centers led to a sweeping immigration crackdown and tragic outcomes, including two fatal shootings by federal agents this month. Context matters, and these patterns suggest a heavy-handed approach that can backfire.
Adding another layer, the strained history between Turkey and Armenia—marked by closed borders since the 1990s and only recent steps like simplified visa rules late last year—can’t be ignored. Oz’s focus on Armenian script on business signs while filming doesn’t help dispel concerns of bias, especially when fraud solutions should target behavior, not backgrounds.
Critics of Newsom might see this complaint as grandstanding, especially with whispers of a 2028 Democratic presidential run. But even if political ambition plays a role, the core issue of protecting communities from unverified public accusations stands as a valid concern. Overreach, whether by state or federal officials, rarely wins trust.
The bakery caught in the crossfire is a stark reminder that real people bear the cost of these public feuds. Newsom’s claim that Oz’s words have “already caused real-world harm” isn’t easily dismissed when small businesses suffer. It’s a tangible impact that deserves more than a shrug.
Oz and CMS staying silent on the complaint so far doesn’t inspire confidence in their position. If the goal is to root out fraud, transparency and precision in accusations are non-negotiable—otherwise, it’s just noise that alienates rather than reforms.
This clash also underscores a deeper divide between state and federal priorities under the current administration. California’s progressive policies often collide with Trump’s agenda, but when public statements risk community harm without clear evidence, the debate shifts from ideology to accountability.
Ultimately, fraud in health care is a serious issue that demands serious solutions, not social media stunts or rushed complaints. Both Newsom and Oz have a chance to refocus on data-driven fixes rather than escalating a feud that leaves local folks as collateral damage. Let’s hope they take it.
