
08/01/2025
Two El Paso Texas hospital executives were recently indicted and arrested in connection with a massive $16 million healthcare fraud scheme involving urine drug testing (UDT).
Jose Huerta, CEO of two long-term acute care hospitals in El Paso
Israel Navarro, owner of one hospital and financial operator of the other.
Both are accused of running a "pass-through billing scheme" billing private insurance companies for high-cost urine drug tests that were never performed. According to federal prosecutors, the fraud caused over $12 million in actual losses, mainly to Blue Cross Blue Shield.
Navarro and Huerta each surrendered to the FBI in late July and were released on bond.
The investigation is ongoing and more details may emerge as the case moves through court and possible leads about other doctors and executives throughout Texas surface.