And the hits just keep on coming…
UNH shares are falling sharply after the market close (down 6% and back below $300 for the first time since September 2020) following a report in The Wall Street Journal that the Justice Department is investigating UnitedHealth Group for possible criminal Medicare fraud related to the company’s Medicare Advantage business, according to people familiar with the matter.
While the exact nature of the potential criminal charges against UnitedHealth is unclear, the people said the federal investigation is focused on the company’s Medicare Advantage business practices.
UnitedHealth’s latest annual securities filing says the company “has been or is currently involved in various government investigations, audits and reviews” and notes the agencies involved, including the Department of Justice.
It does not specifically mention the criminal, civil, and antitrust investigations that the magazine has reported.
The investigation adds to a list of government investigations into the company, including investigations into possible antitrust violations and a civil investigation into the company’s Medicare billing practices, including at doctors’ offices.
All of this is happening at a time when the Trump administration and Congress are trying to cut federal health care spending, a major source of UnitedHealth’s success.
