2 weeks Ago By Naman Trivedi
Florida Governor Ron DeSantis is under fire after reports revealed that $10 million from a 2022 Medicaid fraud settlement was redirected to a charity associated with his wife, First Lady Casey DeSantis, instead of being returned to taxpayers as mandated. The money was part of a $67 million settlement the state reached with Centene Corporation, Florida’s largest Medicaid contractor, which had overbilled the state and federal government for prescription drugs. Documents obtained by journalists and state investigators show that the original settlement amount matched precisely with earlier findings that Centene had overcharged the Medicaid program.
Despite this, state officials, under DeSantis' administration, channeled $10 million of the recovered funds to the Hope Florida Foundation, a nonprofit run by the First Lady and intended to help reduce reliance on government welfare programs. From there, the $10 million was distributed to two nonprofits not legally required to disclose their spending. These organizations later funneled $8.
5 million into a political committee controlled by Florida Attorney General James Uthmeier, DeSantis’ then-chief of staff, which campaigned against a ballot initiative to legalize recreational marijuana. Critics, including Republican Rep. Alex Andrade, allege that this diversion of Medicaid funds may have been politically motivated and potentially illegal.
Also read: FDA To Ban Eight Food Dyes In Major Health Overhaul. Here's A List Of Affected Items Andrade has accused Uthmeier of diverting Medicaid funds to political causes, asserting that the donation violated ethical and legal standards. Uthmeier, appointed as attorney general by Governor DeSantis earlier this year, dismissed the accusations as politically motivated, defending the legality of the settlement and the political donations made to oppose the marijuana amendment.
While Governor DeSantis has publicly claimed the $10 million donation was separate from the settlement and "a cherry on top," internal documents and lawyer statements suggest otherwise. The funds were described in early agreements as part of what was owed to taxpayers, not an additional contribution. The settlement also avoided any public disclosure until journalists and lawmakers began investigating a large, unexplained donation to the Hope Florida Foundation.
The controversy has also impacted First Lady Casey DeSantis's political prospects. Once considered a potential candidate for governor in 2026, she now faces criticism over the foundation's financial practices and its lack of transparency. The scandal has prompted calls for her to address the allegations publicly.
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