Shares of UnitedHealth Group (UNH) dropped significantly in premarket trading following reports that the U.S. Department of Justice is investigating the company for potential Medicare fraud. According to The Wall Street Journal, the healthcare-fraud unit of the DOJ’s criminal division is leading the probe, focusing on UnitedHealth’s Medicare Advantage business. This investigation has been ongoing since at least last summer, targeting possible kickbacks that could lead to higher Medicare payments. Following recent leadership changes and a suspension of its 2025 outlook, UnitedHealth’s shares have fallen nearly 40% this year. Neither UnitedHealth nor the DOJ has commented officially.
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