Five transportation companies on Long Island have committed Medicaid fraud, according to New York Attorney General Letitia James.
She said more than 50 companies statewide got "cease and desist" letters for submitting fake bills to Medicaid for reimbursement or engaging in kickback schemes.
“The fraud is basically simple," James said at Wednesday's news conference. "Transportation companies are billing Medicaid for fake rides and tolls, costing New York taxpayers tens of millions of dollars every year.”
That money is supposed to be spent on free health care—including legitimate medical transportation—for the 7.5 million low-income New Yorkers who rely on Medicaid.
“Not only is it the theft of taxpayer dollars, it exploits low-income New Yorkers," James said. "Some companies’ kickback schemes target patients who are suffering from substance use disorder, recruiting them for fake billing schemes in exchange for cash.”
Her office declined to name which Long Island companies are involved but said fraudsters could face steep fines and prison time.
