$68M Medicaid Fraud Exposed—Unbelievable!

Fraud blocks under magnifying glass on invoices.

The staggering $68 million Medicaid fraud in New York reveals systemic failures, igniting calls for reform.

Story Highlights

$68 million stolen from Medicaid via fake billing from 2017-2024.
Operators bribed Medicaid recipients for service info not rendered.
Seven individuals have been convicted or pleaded guilty.
The scheme underscores the need for stricter oversight and audits.

Massive Medicaid Fraud Uncovered in New York

A sprawling Medicaid fraud scheme in Brooklyn, New York, has resulted in the theft of $68 million over seven years. This scheme, operated by the owners of two social adult day care centers and a home health care company, involved paying cash kickbacks to Medicaid recipients. These recipients were bribed to allow their information to be used for billing services that were never provided. The scheme’s exposure has sparked outrage among conservatives who demand accountability and stronger oversight to protect taxpayers’ money.

To date, seven individuals have been convicted or have pleaded guilty in connection to this fraud. The recent guilty pleas by marketers Manal Wasef and Elaine Antao bring the total to seven, marking a significant step in addressing this large-scale theft from public funds. The scheme’s simplicity, relying on basic fraudulent paperwork and bribery, highlights glaring weaknesses in the oversight of Medicaid’s social adult day care programs. This has raised questions about the state’s regulatory measures and the federal government’s role in ensuring proper use of taxpayer dollars.

Systemic Failures and Oversight Issues

New York’s Medicaid program, already notorious for its high spending compared to other states, has been a breeding ground for fraud due to its lax regulatory environment. The rapid growth of social adult day care centers, rising from 40 in 2013 to nearly 400 today, has outpaced the state’s ability to conduct necessary inspections and audits. This unchecked expansion has allowed fraudsters to exploit the system, resulting in significant financial losses for taxpayers. The New York Medicaid agency’s inability to detect and prevent fraud has been a critical component of this scandal, necessitating calls for immediate reform.

Compounding the issue, the state’s consumer directed personal assistance program (CDPAP) has been criticized as a “racket” by Governor Hochul, pointing to advertisements that encourage individuals to get paid for caring for relatives unnecessarily. This lack of scrutiny has permitted fraudulent activities to flourish, further burdening the already overstretched Medicaid funds. The situation in New York echoes similar scandals in states like Minnesota, where welfare fraud resulted in billions in losses, underscoring a nationwide issue that demands comprehensive policy changes.

Calls for Reform and Accountability

The exposure of this Medicaid fraud scheme has prompted calls from conservative leaders for immediate action to prevent further taxpayer losses. Senator Thomas F. O’Mara has urged Governor Hochul to undertake a thorough audit of the Medicaid program to identify vulnerabilities and implement necessary reforms. The $68 million theft in New York is part of a broader pattern of Medicaid fraud that costs taxpayers billions annually, highlighting the urgent need for increased oversight and accountability at both state and federal levels.

$68M stolen in New York Medicaid fraud scheme | Wake Up Americahttps://t.co/3CIbZsAtr6

— ConspiracyDailyUpdat (@conspiracydup) January 23, 2026

Moving forward, experts suggest that adopting block grants for Medicaid could provide states with greater flexibility and accountability, reducing the likelihood of fraud. As investigations continue, the hope is that these measures will lead to significant improvements in safeguarding taxpayer funds and ensuring that Medicaid serves its intended purpose of providing care to those in need.