- Salty Ginger Talk Newsletter
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- Salty Ginger Talk Newsletter
DOJ announces charges against over 300 defendants in medical fraud scheme involving over $14 billion
Our take: The medical industry has been broken for some time. Those of us that grew up before the 1990s remember a time when doctors’ visits and medical treatments were a normal part of life, not a financial burden that could bankrupt a household. Since then, we have seen an explosion in costs and a huge increase in the number of medical facilities all looking for a place at the trough.
One reason for that explosion is the oversized bureaucracy that has barged into the industry, creating a large burden for medical professionals trying to help people, as well as creating an environment ripe for fraud and abuse. If one knows how these systems work, it is not hard to push through fraudulent claims, inflate prices, and unjustly enrich themselves.
The DOJ announced criminal charges against a staggering 324 defendants, accusing them of filing fraudulent claims amounting to over $14 billion. Many of these defendants are multinational criminal organizations that were using dead and stolen identities to push through these fraudulent claims.
This announcement is a step in the right direction as it relates to reigning in the out-of-control medical industry. Power and control have been centralized in the hands of a few large companies and the federal government. If we want to change this, we need to crack down on the fraud, decentralize control, and push these decisions down to the state level. It works for car, home, and life insurance. It would work for medical insurance too if we could wrest control from these oligarchies and put it back in the hands of the people closest to the patient.
COURTESY: MSN
Economists sound the alarm on NYC mayoral candidates' plan for city-owned grocery stores
Our take: The Democratic nominee running for mayor of New York City wants to open a government-owned and -run grocery store in each of the 5 boroughs. These stores would not have to pay rent or property taxes and would not have to worry about turning a profit, as the taxpayers would subsidize the operations.
As a 30+-year veteran of the grocery business, we cannot express strongly enough what a bad idea this is. The grocery industry is incredibly competitive and operates on razor-thin margins, as low as 1% in many instances. It is a complex industry where there are no high margins, and the smallest operational or economic change can mean the difference between profit and loss. History is littered with failed grocers, which is very easy to understand if you know anything about the industry.
Also, many countries have had government-run grocery stores: Russia, Venezuela, and Cuba come to mind. In these countries, people wound up with no food, sometimes resorting to eating domesticated animals to stay alive.
Anyone who supports this idea needs to have their head checked. The next grocery chain owned and operated exclusively by a government agency that succeeds will be the first. We appreciate this plan is well intentioned. But we all know the road to hell is paved with good intentions.
COURTESY: MSN
Newsom signs $321 billion budget, blames Trump for $17.6 billion shortfall
Our take: Likely Democratic presidential candidate Gavin Newsom is currently the governor of California. He has been governor since 2019. In that period, California’s budget has grown more than 60% while the population has declined slightly. In 2024, the economy lost over 80,000 jobs, including 173,000 private sector jobs. I guess all that is Trump’s fault too.
Newsom is famous for deflecting all blame. He famously locked down California during the pandemic while flouting his own rules to dine with donors, advocated strongly for transgender participation in women’s sports then flip-flopped on his new podcast after Trump’s election showed the country was tired of the unfairness, and blamed everyone but himself for the devastating wildfires that ripped through LA in January this year. Nothing is his fault.
If people vote for this guy, they have no one to blame but themselves. He has shown everyone for years exactly who he is.
COURTESY: MSN
Tip of the Day - handling difficult conversations
If things start to get heated, acknowledge that.
Offer a time for both of you to return to the discussion at a later time, once you have each had some time to cool down. It’s important to finish the conversation.
As I saw with my client, each time she “kicked the can down the road” and put off the conversation, anger festered, and resentment built.
Quote of the Day
“Without effort, your talent is nothing more than your unmet potential.” - Angela Duckworth