Federal officials say they uncovered more than $1.2 billion in suspected fraud tied to five COVID-era health contracts.
Federal officials say they uncovered more than $1.2 billion in suspected fraud tied to five COVID-era health contracts that continued disbursing money years after the national emergency ended.
The General Services Administration (GSA) announced the findings Thursday after reviewing the contracts alongside the Department of Health and Human Services (HHS) and a White House task force focused on rooting out fraud.
The COVID-19 national emergency ended in 2023, and federal purchasing flexibilities connected to the pandemic were canceled later that year. But officials said some contractors continued receiving money through agreements that still carried the emergency designation.
GSA Administrator Edward Forst said the agency found $1.22 billion in suspected fraud across the five HHS contracts and stopped another $41 million from going out.
“Fraudsters continue to weaponize outdated emergency contracts to abuse taxpayer dollars,” Forst said.
Officials did not identify the contractors involved or specify the alleged fraudulent conduct.
HHS Secretary Robert F. Kennedy Jr. said the cases are being referred to law enforcement and that officials will try to recover taxpayer money.
