US Arrests Nigerian-American CEO For Allegedly Defrauding Veterans Affairs Of $7 Million

The CEO of a United States–based home care firm, Cashmir Chinedu Luke, has been arrested by federal authorities at the San Francisco International Airport for allegedly defrauding the Department of Veterans Affairs (VA) of more than $7 million.

According to a statement from the U.S. Department of Justice, Luke was taken into custody on Wednesday while attempting to board a flight to Nigeria.

“The CEO of a Fresno-based home health care company was arrested at San Francisco International Airport while attempting to board a flight to Nigeria. He is charged in a criminal complaint alleging that he fraudulently obtained more than $7 million in payments from the Department of Veterans Affairs for services that were never actually rendered, including care purportedly rendered to veterans weeks after they had died,” U.S. Attorney Eric Grant said.

Court documents indicate that between December 2019 and July 2024, Luke—believed to be 66 and residing in Antioch—operated Four Corners Health LLC, a company contracted to provide unskilled in-home nursing and daily care for elderly veterans under the Veterans Community Care Program. The company reportedly served beneficiaries in Fresno, Tulare, Merced, Mariposa, Madera, San Francisco, and Contra Costa Counties.

Investigators allege that Luke orchestrated a five-year scheme involving roughly 10,000 false claims submitted to the VA. These claims included duplicate billing, charges for days caretakers never visited, overstated hours of care, and even services purportedly provided to veterans who were already deceased. The VA ultimately reimbursed Four Corners Health about $7 million based on these falsified submissions.

Luke, identified as the sole owner and billing agent, also allegedly misled the VA’s third-party administrator during its attempts to recover some of the fraudulent payments. This deception reportedly enabled the scheme to continue uninterrupted. Authorities say he personally profited by spending lavishly on personal expenses and routing funds through bank accounts across Asia and Africa.

The case is being handled by the U.S. Veterans Affairs Office of Inspector General, with Assistant U.S. Attorney Calvin Lee leading the prosecution.

If convicted, Luke faces up to 10 years in federal prison and a $250,000 fine. However, sentencing will depend on statutory considerations and federal guidelines. The Department of Justice emphasised that the charges remain allegations and Luke is presumed innocent until proven guilty.

: vanguard news