With Texas and Iowa at the forefront of efforts to hold the radical pro-abortion organization accountable for millions in improper taxpayer reimbursements, the fraudulent activity is one reason why Congress and states want to defund the abortion giant.
Texas officials have filed a lawsuit against Planned Parenthood, alleging the abortion giant filed millions in false Medicaid claims, potentially facing a $1.8 billion judgment with repayments, damages, and fines under the federal False Claims Act. The Texas Office of the Inspector General found that Planned Parenthood violated federal regulations by altering abortion procedures to harvest baby body parts, leading to the termination of its Medicaid provider contract.
“Medicaid providers in Texas are required to follow Texas Medicaid policies and federal and state law,” Texas Right to Life stated, highlighting the state’s push to recover $17 million in fraudulent claims.
In Iowa, similar accusations have emerged.
Abby Johnson, a former Planned Parenthood director in Texas who is now pro-life, confirmed widespread Medicaid fraud within the organization.
“We rarely saw women at the Planned Parenthood I worked at in Texas for anything other than abortion, and if we did, like many other Planned Parenthood facilities, we overbilled Medicaid,” Johnson wrote in a column for The Federalist. She detailed how her facility would bill Medicaid $30 for a package of birth control pills costing only $3, pocketing the difference. Johnson also noted that Planned Parenthood in Iowa made nearly $30 million through similar practices and was sued by her friend Sue Thayer, a former employee, resulting in a $4.3 million repayment.
The allegations extend beyond financial misconduct.
A 2016 report revealed Planned Parenthood of the Heartland in Iowa overbilled taxpayers by tens of thousands of dollars for abortions, violating rules prohibiting such charges under Iowa’s Medicaid program. The organization was ordered to repay $69,360.94 to the state and the federal Centers for Medicare and Medicaid Services after an audit confirmed the overbilling.
Critics argue these incidents reflect systemic issues within Planned Parenthood.
A New York Times exposé reported by dozens of former staff members across nine states described a crumbling organization marked by mismanagement and inadequate care.
“Planned Parenthood demonstrates, again and again, a total lack of care for the patients unfortunate enough to walk in their doors,” said Troy Newman, president of Operation Rescue. “They are incompetent because they are indifferent. Their clinics are just a facade propped up on Medicaid so Planned Parenthood executives can rake in millions of dollars in donations, pay themselves six figures, then use the rest to further political power all in the name of their ‘sacred cow,’ abortion.”
Jennifer Allmon, executive director of the Texas Catholic Conference of Bishops, emphasized alternatives to Planned Parenthood, stating, “There are hundreds of providers throughout the state of Texas willing to serve poor women with authentic healthcare services that are not also peddling abortion.”
The legal battles continue to unfold. A federal appeals court recently reversed a Texas judge’s ruling, sending the state’s case against Planned Parenthood to trial. The decision focused on whether the abortion organization’s national office could be held liable for advising affiliates in Texas and Louisiana to continue billing Medicaid during the litigation.
Pro-life advocates argue that Planned Parenthood’s reliance on Medicaid funding, which constitutes a significant portion of its $700 million in annual taxpayer support, enables its abortion operations. “Taxpayers should not have to foot the bill for America’s abortion giant,” Newman added.
Planned Parenthood has not issued a public response to the latest fraud allegations but has previously denied wrongdoing in similar cases. The organization’s annual report indicates it performed 392,715 abortions in the 2022-2023 fiscal year, underscoring its role as a leading abortion provider.
As states like Texas and Iowa press forward with lawsuits, pro-life groups are calling for broader investigations into Planned Parenthood’s financial practices, urging federal and state officials to redirect taxpayer funds to community health centers that provide comprehensive care without performing abortions.
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