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Navajo Nation begins emergency outreach program for victims of fraudulent sober living homes

Navajo officials, including Attorney General Ethel Branch (center), announced Operation Rainbow Bridge, an emergency outreach effort to assist victims of a fraudulent sober living home scheme, at a press conference in Phoenix on Fri, May 19, 2023. They were joined by Arizona Attorney General Kris Mayes (third from left).
Navajo Nation Office of the President and Vice President
Navajo officials, including Attorney General Ethel Branch (center), announced Operation Rainbow Bridge, an emergency outreach effort to assist victims of a fraudulent sober living home scheme, at a press conference in Phoenix on Fri, May 19, 2023. They were joined by Arizona Attorney General Kris Mayes (third from left).

The Navajo Nation has begun an effort to assist victims of an alleged Medicaid fraud scheme that impacted thousands of tribal members. The new emergency outreach program has already begun work in the Phoenix metro area.

The goal of Operation Rainbow Bridge is to transition tribal members away from a network of fraudulent sober living homes. The Navajo Nation along with nonprofits and the state of Arizona are dispatching field teams throughout the city to make contact with people who may have been victims of the schemes over the last three years. They’ll be offered food, safe housing and legitimate treatment along with transportation back to the Navajo Nation.

"The ultimate goal is to reunite our families and also to help those that do not have voices. Many of our people and families are hurting, not only within Arizona but it’s also happening throughout Indian Country," said Navajo Nation Council Speaker Crystalyne Curley at a Friday press conference.

According to the Navajo Police Department, since the outreach program began officers have already found several victims in Phoenix including some who were listed as missing persons. Officials say more than a hundred fake treatment facilities have exploited between 6,000–7,000 tribal members by promising substance abuse treatment that was often never provided. Some would-be patients were even prevented from leaving the homes.

Arizona Attorney General Kris Mayes called the schemes that defrauded the state out of hundreds of millions of dollars a “humanitarian crisis” and a “stunning failure of government.”

So far, 45 indictments have been handed down and about $75 million have been recovered. Prosecutors are also investigating possible human trafficking charges related to the scams. Mayes and Arizona Gov. Katie Hobbs say they have taken several actions to stop the flow of money to the fake facilities.

According to officials, the fraudulent group homes could extend beyond Phoenix with possible sites in Prescott and elsewhere in northern Arizona.

A statewide hotline for victims has been up at 2-1-1, option 7.

Ryan Heinsius joined the KNAU newsroom as executive producer in 2013 and was named news director and managing editor in 2024. As a reporter, he has covered a broad range of stories from local, state and tribal politics to education, economy, energy and public lands issues, and frequently interviews internationally known and regional musicians. Ryan is an Edward R. Murrow Award winner and a Public Media Journalists Association Award winner, and a frequent contributor to NPR's Morning Edition, All Things Considered and national newscast.