LA Hospice Cluster at One Plaza Triggers Fraud Flags

CBS News documents a dramatic clustering of 89 licensed hospice firms in a single Van Nuys building (Merabi Plaza), a pattern auditors say raises red flags for fraud; 72 of the 89 show multiple warning signs such as multiple firms in one building, low patient counts, or excessive billing, and regulators have logged roughly 400 violations at 75 companies from 2021–2025; the building’s owner disputes the count, noting some tenants moved out, prompting concerns about ghost hospices while federal officials pledge ongoing Medicare scrutiny.