FinCEN Identifies $17.5 Billion in Suspicious Activity Linked to Health Care Fraud
The U.S. Financial Crimes Enforcement Network (FinCEN) has identified approximately $17.5 billion in suspicious financial activity potentially linked to health care fraud, based on a new analysis of Bank Secrecy Act (BSA) reporting.
The Financial Trend Analysis, released on September 9, 2026, examines 5,702 BSA reports filed between March 1, 2025 and February 28, 2026. The reported amount includes both completed and attempted transactions and should not be read as a confirmed measure of criminal proceeds. FinCEN also cautions that suspicious activity reporting can include legitimate activity, repeated reporting and transactions beyond the conduct ultimately determined to be unlawful.
Banks accounted for most of the reporting
Depository institutions filed about 89% of the reports in FinCEN’s dataset and accounted for nearly 87% of the reported suspicious activity amounts. FinCEN said 408 depository institutions filed 5,080 reports representing approximately $15.2 billion in suspicious activity.
The suspected schemes involved payments from a mix of Medicare, Medicaid and private insurance programs. Home health care businesses were the most frequently identified suspected fraudulent provider type, followed by hospice care, mental or behavioral health and addiction treatment providers, medical equipment companies and adult or child daycares.
Money laundering patterns remain central
FinCEN found that suspected perpetrators used a range of apparent money laundering techniques, from relatively simple transfers to more complex layering. In many cases, suspected fraud proceeds were used for personal expenses and luxury purchases, while some funds were transferred internationally.
A smaller portion of reports also indicated possible links to larger fraud rings or criminal networks and, in some cases, foreign entities. However, FinCEN said most filings did not specifically identify activity linked to known transnational criminal organizations.
For financial institutions, the report reinforces the importance of combining customer and business-profile information with transaction monitoring. Payment flows that are inconsistent with a health care provider’s stated business, rapid movement of government or insurance payments, unexplained transfers to personal accounts or luxury merchants, and unusual international transfers may warrant closer review when considered together with other risk indicators.
The analysis follows FinCEN’s March 2026 advisory on health care fraud targeting Medicare, Medicaid and other federal and state health care benefit programs. FinCEN said typologies seen in BSA filings after that advisory remain consistent with the trends identified in the new analysis.
Sources
U.S. Department of the Treasury — Treasury Uncovers $17.5 Billion in Suspected Health Care Fraud
FinCEN — Financial Trend Analysis: Health Care Fraud: Trends in Bank Secrecy Act Data
