A nurse who alleged Texas Children’s Hospital engaged in Medicaid fraud to continue chemically castrating minors was fired last week.
Vanessa Sivadge recently informed investigative journalist Christopher Rufo that she was fired by the hospital last Friday, two months after accusing it of billing Medicaid for child gender mutilation procedures—a violation of Texas law.
“The day after I went public with your story, TCH called and put me on leave citing 2 reasons: (1) your story (‘things share publicly,’) and (2) my request to transfer, which was my email seeking religious accommodation,” read Sivadge’s letter to Rufo.
This past Friday on August 16, TCH fired me effective immediately. This is unlawful for two reasons: it is retaliation for my coming forward with information on TCH’s egregious pattern of deception and Medicaid fraud, and this action also illegally disregarded my request to transfer due to my belief that these procedures provide irreversible harm and lifelong regret to children confused by their sex.
Per the Texas Medicaid Provider Procedures Manual, “sex change operations” are “not benefits of Texas Medicaid.” State officials later clarified this language as precluding all gender-mutilation services from Medicaid.
Attorney General Ken Paxton’s office and the state Office of Inspector General reportedly told lawmakers in July that they are investigating the potential violations of Medicaid and Children’s Health Insurance Program funds.
Sivadge’s accusations are not the first accusation against Texas Children’s Hospital.
Dr. Ethan Haim, a surgeon preparing to graduate from the hospital’s residency program, had leaked in 2023 that the hospital continued performing child gender mutilation surgeries even after it claimed that it stopped the procedures a year prior at the behest of Paxton’s office.
The U.S. Department of Justice indicted Haim in June 2024 for allegedly violating the Health Insurance Portability and Accountability Act of 1996 when he went public with the information.
Federal officials claim that he obtained personal information of patient names, treatment codes, and the attending physician using the hospital’s electronic system without authorization.
If convicted, he faces up to ten years in federal prison and a fine of up to $250,000.
Rufo’s reporting on both matters spurred lawmakers, notably State Rep. Brian Harrison (R-Midlothian), to request that House Speaker Dade Phelan (R-Beaumont) hold an emergency interim hearing into the matter.
However, Phelan didn’t immediately heed the calls, prompting some state lawmakers to express their displeasure at his inaction during a July 9 hearing before the House Committee on Criminal Jurisprudence.
“What is happening at Texas Children’s Hospital and what continues to happen as a result of our open border is completely unacceptable and poses a serious threat to all Texans,” explained State Rep. Nate Schatzline (R-Fort Worth) to Texas Scorecard after the meeting.
“Me and Rep. Harrison have repeatedly asked Speaker Phelan to look into these matters, but he has ignored us and the Texans he represents,” he continued. “As a result, we have asked Chair Moody to use his authority and address these issues through the House Committee on Criminal Jurisprudence.”
At the federal level, U.S. Rep. Pete Sessions of Texas’ 17th Congressional District announced on July 18 that the committee he chairs was opening a joint investigation with another committee into the Medicaid fraud allegations.
U.S. Rep. Chip Roy of Texas’ 21st Congressional District has also sounded the alarm on the scandal. In late June, he sent a letter to U.S. Attorney General Merrick Garland demanding answers about why the Biden-Harris administration targeted Haim.
“The circumstances of the Department’s actions toward Dr. Haim raise concerns that it is misusing its law-enforcement authority to advance left-wing policy goals,” wrote Roy. “This prosecution is just the latest example of how the Biden-Garland Justice Department is using the law to target ideological adversaries instead of equally enforcing the law.”
Gender mutilation procedures on minors have been prohibited in Texas since September 1, 2023, when Senate Bill 14 of the 88th Texas Legislature’s regular session came into effect.
