Feds Bust Man Behind One of the Biggest Medi‑Cal Rip‑Offs Ever – RedState

There’s fraud, and then there’s epic California-scale fraud. An Orange County man named Paul Randall was already awaiting sentencing on a federal fraud charge — one of six prior fraud convictions — when he hatched a new scheme that diverted more than $270 million in taxpayer funds. It’s one of the largest California Medicaid (aka Medi-Cal) fraud rip-offs in Golden State history, and after Randall pleaded guilty in April, he faces up to 30 years in the slammer at his sentencing this summer.





The dude was living the high life:

“It should offend every American taxpayer that these people are taking advantage of the system,” [Department of Justice Attorney Bill] Essayli said.

Seizing physical assets has been a first step in those efforts, Essayli said as he climbed the driveway of an eight-bedroom, 10-bathroom compound on an isolated Orange County hilltop – the former home to convicted serial fraudster Paul Randall.

“He was living like a king off us,” Essayli said.

Seven properties, a Mercedes G-Wagon, sneakers worn by Kobe Bryant and a Mickey Mantle rookie card worth $1.5 million. All of these things were bought with taxpayer money.

Paul Randall pleaded guilty in one of the largest Medicaid fraud schemes in the California history – diverting more than $270 million in tax dollars.

Essayli also showed the CBS News reporter a federal warehouse where dozens of sports cars and other illegally obtained goods were stored. 

Not surprisingly, the 66-year-old Randall capitalized on the Golden State’s lax oversight:

Randall and his co-conspirators took advantage of a temporary rule change in Medi-Cal that removed the need for pre-approval on certain drugs. Using a pharmacy they controlled, they billed Medi-Cal huge amounts each month for expensive generic medications that normally would’ve required approval.





Essayli found it unbelievable that someone who had already been convicted of fraud numerous times could get away with this for as long as he did. Welcome to Fraudifornia:

“Obviously there’s a breakdown in the criminal justice system if this guy was able to have six convictions and never did any real prison time,” Essayli said.


MORE: Epic Win: Feds Bust Six in Tremendous Food Stamp Fraud

Nailed: US Atty Bill Essayli Announces 14 Arrests in Huge COVID Relief Fraud Bust


It’s not like Randall was keeping a low profile; he seemed quite happy to flaunt his ill-gotten fortune:

Not everyone in California is crazy or a criminal, though. Rep. Young Kim, who is in a tough GOP primary battle against Rep. Ken Calvert due to redistricting, introduced the No More Shielding Corruption and Misuse in Spending Act (aka The No More SCAMS Act) in February. It would “establish a national task force to investigate and combat fraud involving Federal dollars”:





Donald Trump has focused on fraud, and in March, he named Vice President JD Vance as the chair of the newly created Task Force to Eliminate Fraud. The vast quantities being stolen at both the state and national levels are eye-popping.

No word yet if California Gov. Gavin Newsom or Minnesota Gov. Tim Walz has commented on this latest development. Don’t hold your breath.


Editor’s Note: The American people overwhelmingly support President Trump’s law and order agenda.

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