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Home»Business»Southern California Businesses Reeling from Dr. Oz Video Allegations
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Southern California Businesses Reeling from Dr. Oz Video Allegations

By February 9, 2026No Comments4 Mins Read
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Southern California Businesses Reeling from Dr. Oz Video Allegations
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Impact of Dr. Mehmet Oz’s Claims on Van Nuys Businesses

On a recent workday in Van Nuys, the usually bustling real estate agency owned by Edward Akhparian was eerily quiet, lacking both customers and phone calls. This sudden drop in activity mirrors concerns echoed by nearby business owners who also felt the repercussions of a widely circulated video featuring Dr. Mehmet Oz, a high-profile federal health official during the Trump administration. In this now-viral clip, Oz discussed purported health care fraud rampant in Los Angeles County, specifically highlighting a shopping center populated with Armenian American businesses.

The Aftermath of the Oz Video

Dr. Oz’s video, posted on January 27, has left a widespread trail of uncertainty and fear. Local entrepreneurs recounted their businesses suffering a staggering 20% to 30% decrease in foot traffic following the video’s release. Among those affected are an insurance firm, a pharmacy, and a food market situated within the same shopping center as Akhparian’s real estate office. The heightened anxiety in the area might stem from fears that customers could mistakenly associate these local businesses with illicit activities.

Business Owners Feel the Impact

The subdued atmosphere at Akhparian’s office starkly contrasts the usual scene, which typically features clients eagerly awaiting their appointments. He explained, “People aren’t coming. People are scared.”

Akhparian, whose businesses include real estate and credit consultancy, noted that his client inquiries have dwindled from 15-20 daily visits to just 4 or 5. Similarly, Edgar Gabrielyan, owner of The 1 & Only Insurance Services, voiced his frustration, claiming that Oz had effectively “cursed” the shopping center with his inflammatory statements.

Community Reaction to Allegations

Oz’s claims regarding health care activities have not gone unnoticed. He alleged that 42 hospices are registered within a strikingly short distance in Van Nuys, linking them to widespread fraud involving a figure of $3.5 billion. Oz insinuated that a segment of these fraudulent activities stemmed from what he referred to as “the Russian Armenian mafia.”

This assertion has ignited backlash from community members and local elected officials. Democratic Representative Laura Friedman and Los Angeles City Councilmember Adrin Nazarian, whose family survived the Armenian genocide, have condemned Oz’s comments as not only irresponsible but also embodying ethnic profiling. Nazarian described Oz’s video as “blatant racism” and questioned why the focus was solely on Armenian and Cyrillic languages.

Legal and Political Response

Following Oz’s controversial remarks, California’s Governor Gavin Newsom’s office filed a civil rights complaint with the U.S. Department of Health and Human Services, condemning Oz’s statement as baseless and racially charged. In defending their stance, Newsom’s administration pointed out existing actions already underway to combat health care fraud, which had been pursued well before the Trump administration’s involvement.

California’s authorities have acted decisively, with reports identifying over 280 hospice licenses revoked in recent years, while around 300 additional hospices are under scrutiny. Additionally, Attorney General Rob Bonta recently announced the arrests of seven individuals for hospice fraud, further illustrating California’s commitment to tackling this complex issue.

Community Support Amid Declining Business

While some customers have indeed stayed away post-Oz’s video, local residents like Anna Khachatryan have intentionally sought to support businesses located in the shopping center. Khachatryan drove from Burbank to shop at Sherman Way Marketplace, a venture that reportedly experienced a significant drop in customer traffic shortly after Oz’s controversial statements.

Despite the prevailing atmosphere of apprehension, Khachatryan’s support demonstrates community resilience. Meanwhile, Akhparian expressed his irritation with the mafia insinuation: “Mafia? What mafia? Where’s my gun?” he joked, illustrating just how unfounded and damaging he believes these allegations to be.

Conclusion

The fallout from Dr. Mehmet Oz’s claims about health care fraud in Los Angeles County reverberates through the Van Nuys business community, illustrating the powerful effect that one public figure’s words can have on local entrepreneurship. As community members work to rally support for their businesses, the experience serves as a poignant reminder of the complexities surrounding health care fraud and the importance of responsible discourse.

For more information on health care fraud and its implications, please refer to the Centers for Medicare & Medicaid Services and explore the ongoing efforts in California to address health care integrity.

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