June 20, 2012 2:46PM 

# Fidel Castro, Medicare Beneficiary? 

By [Michael F. Cannon](https://www.cato.org/people/michael-f-cannon) 

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[There’s no proof yet](http://www.miamiherald.com/2012/06/19/2858083/miami-prosecutors-no-proof-that.html), but it looks an awful lot like [Medicare might be subsidizing the Castro brothers](http://www.miamiherald.com/2012/06/18/v-fullstory/2855604/feds-in-miami-millions-stolen.html).

![Media Name: Castro-dollar.jpg](/sites/cato.org/files/styles/pubs_2x/public/wp-content/uploads/Castro-dollar.jpg?itok=h5Nc1_IV) 

I, for one, was not surprised to read that Medicare payments for non-existent medical services are ending up in Cuban (read: government-controlled) banks. Nor that “[accused scammers are escaping in droves to Cuba and other Latin American countries](http://www.palmbeachpost.com/news/news/state-regional-govt-politics/feds-miami-millions-stolen-medicare-wound-cuban-ba/nPYmB/) to avoid prosecution — with more than 150 fugitives now wanted for stealing hundreds of millions of dollars from the U.S. healthcare program, according to the FBI and court records.”

In fact, I have been wondering for some time when we would see evidence that foreign governments have been stealing from Medicare. The official (read: conservative) estimates are that Medicare and Medicaid lose $70 billion each year to fraud and improper payments, a result of having almost zero meaningful controls in place. That’s practically an open invitation to steal from American taxpayers. Kleptocratic governments—and other organized-crime rings—would be insane *not* to wet their beaks.

In [this *National Review* article](https://www.cato.org/publications/commentary/entitlement-bandits-how-ryan-plan-would-curb-medicare-medicaid-fraud), I explain how easily it could happen:

> Last year, the feds indicted 44 members of an Armenian crime syndicate for operating a sprawling Medicare-fraud scheme. The syndicate had set up 118 phony clinics and billed Medicare for $35 million. They transferred at least some of their booty overseas. Who knows what LBJ’s Great Society is funding?

I also explain how these vast amounts of fraud aren’t going to stop without fundamental [Medicare](http://www.downsizinggovernment.org/hhs/medicare-reforms) and [Medicaid](https://www.cato.org/pubs/handbook/hb111/hb111-13.pdf) reform. Give the *National Review* article a read, and tell me if you share my suspicion that Medicare is bankrolling other governments.

##### Related Tags 

[Government and Politics](https://www.cato.org/government-politics), [Health Care](https://www.cato.org/health-care) 

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