Justice
Jun 30, 2026

Arizona arrests 42 in sober living home fraud investigation

Charges include manslaughter and vulnerable adult abuse in scheme that targeted Native Americans


June 30, 2026

Arizona authorities arrested 42 people in 10 separate cases tied to a nearly $3 billion sober living home fraud scheme that targeted Native Americans, according to reporting by Native News Online. Arizona Attorney General Kris Mayes announced the arrests June 24. The charges include fraudulent billing, theft, conspiracy, vulnerable adult abuse, manslaughter and negligent homicide.

The scheme involved kidnapping Native Americans and enrolling them in the American Indian Health Program through the Arizona Health Care Cost Containment System, and billing Medicaid for mental health services that were allegedly never provided, according to the Native News Online reporting. The state estimates the fraud cost taxpayers $2.8 billion. Native News Online reported that nearly 180 people have been indicted, 41 have been convicted and about 200 cases remain under investigation. Native advocates told the outlet they believe recruiters continue targeting vulnerable Native people.

  1. 1.Elyse Wild. Native News Online, .

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