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RFK Jr. Caught Off Guard by AOC’s Insurance Fraud Allegation

In a tense and revealing moment during a House Energy Committee hearing, Rep. Alexandria Ocasio-Cortez (D-NY) surprised Health and Human Services Secretary Robert F. Kennedy Jr. with an explosive allegation: that UnitedHealthcare, the largest health insurer in the country, is under criminal investigation for fraud, and his department is still funneling billions in taxpayer money to them. The exchange, caught on camera and widely shared online, quickly became one of the most talked-about moments of the hearing.

A Childhood Connection Turns Political

A Childhood Connection Turns Political
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Ocasio-Cortez opened her time with a warm recollection: she had met Kennedy once before, when she was just nine years old at an environmental event in Westchester County. But the tone quickly turned serious. “You talk a lot about corporate influence and corruption in government,” she said, referring to Kennedy’s long-standing critiques of special interests. “This is an area that’s very important to me.”

Laying the Groundwork: AOC Checks for Conflicts

Laying the Groundwork AOC Checks for Conflicts
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Before diving into policy questions, Ocasio-Cortez asked Kennedy if he was financially divested from any healthcare companies or lawsuits. “Yes, I am,” Kennedy responded. When she asked if he held any crypto or other securities, he disclosed owning some Bitcoin but stated he had divested from other assets after review by the Office of Government Ethics. AOC made clear why she asked: “I always like to know what the field is before I enter conversations.”

Targeting UnitedHealthcare Head-On

Targeting UnitedHealthcare Head On
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Ocasio-Cortez then turned her attention to UnitedHealthcare, the nation’s largest health insurance provider. She described it as a corporate behemoth: the largest employer of doctors, owner of thousands of clinics, pharmacies, and surgery centers, and a powerful force in hospice and home health services. “Are you aware,” she asked Kennedy, “that President Trump’s Department of Justice is reportedly investigating UnitedHealthcare for criminal insurance fraud?”

Kennedy Appears Unaware

Kennedy Appears Unaware
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The question seemed to catch Kennedy off guard. “I’m not aware of that investigation,” he responded calmly. AOC appeared stunned. “You are not aware that the Trump Department of Justice is investigating the largest insurance company in America for fraud in Medicare Advantage?” she repeated. Kennedy, again, responded, “No, I’m not aware of that.”

AOC Drops a Massive Number

AOC Drops a Massive Number
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Ocasio-Cortez then escalated the discussion by citing a staggering statistic. “Are you aware that for-profit insurance corporations like UnitedHealthcare have been found to be defrauding public dollars of more than $80 billion a year?” she asked. Kennedy admitted he didn’t know that figure but acknowledged that there is “fraud across the for-profit sector.” AOC wasn’t satisfied. “Respectfully… this is the largest source of waste, fraud, and abuse in the public insurance space,” she said.

“$80 Billion with a B”

“$80 Billion with a B”
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The number, $80 billion annually, was enough to stop Kennedy in his tracks. “Did you say 80 million or 80 billion?” he asked for clarification. “80 with a B. Billion,” AOC confirmed. Kennedy looked surprised but didn’t refute the claim, instead promising to look into the matter. The moment was tense, and for many viewers, it was a clear example of an oversight that should not be ignored by the head of the nation’s largest health-related agency.

The Core Accusation: Doubling Payments to Bad Actors

The Core Accusation Doubling Payments to Bad Actors
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Ocasio-Cortez then dropped what might have been the most controversial part of her questioning. She accused Kennedy’s HHS of doubling the rate of taxpayer dollars given to Medicare Advantage plans – plans managed by companies like UnitedHealthcare, which is allegedly under federal investigation. “How is that happening?” she asked, pressing Kennedy on whether he knew about the CMS decision to increase payments by over 5% next year.

Kennedy Pushes Back – Gently

Kennedy Pushes Back Gently
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Kennedy didn’t have a clear answer but pushed back slightly. “How did I do that?” he asked, genuinely puzzled. AOC clarified that HHS, under his leadership, had approved the increase, which would send an additional $25 billion to these private insurers. Kennedy responded that he would be happy to review the data and promised to investigate further. Still, the question left an impression: Was a massive public handout being issued to corporations under federal scrutiny?

AOC Enters Documents into the Record

AOC Enters Documents into the Record
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To support her case, Ocasio-Cortez submitted into the congressional record a press release from CMS (Centers for Medicare & Medicaid Services), dated April 7, 2025. The document showed that Medicare Advantage providers would receive a 5.06% payment increase, more than double the prior year’s rate. She argued this decision, under Kennedy’s oversight, benefits companies accused of defrauding the government. The committee chair cut off her time shortly after.

Bureaucracy or Blind Spot?

Bureaucracy or Blind Spot
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What’s most remarkable about this exchange isn’t just the content – it’s the tone. Kennedy, known for his meticulous understanding of environmental and health issues, appeared caught off guard by a major fraud investigation into a company his department funds. Whether this reflects a deeper bureaucratic blind spot or simply the overwhelming size of the agency he leads is up for debate. But the optics weren’t good.

AOC’s Broader Message: Follow the Money

AOC’s Broader Message Follow the Money
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Beyond the momentary shock, Ocasio-Cortez delivered a message that resonated with both progressives and fiscal watchdogs: follow the money. She wasn’t simply attacking Kennedy – she was questioning a system that continues to pour billions into private companies with a history of fraud accusations. Her aim seemed clear: bring transparency to the way taxpayer dollars are distributed and demand accountability at the highest levels of government.

A Missed Briefing or a Deeper Problem?

A Missed Briefing or a Deeper Problem
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The fiery exchange between Rep. Alexandria Ocasio-Cortez and HHS Secretary Robert F. Kennedy Jr. revealed more than a difference of opinion – it suggested a gap in oversight that could be costing taxpayers billions. Kennedy, to his credit, responded with professionalism, even when surprised. But AOC’s line of questioning left the impression that even the most well-intentioned leaders may be unaware of what’s happening on their watch.