Justice Department sues New York over Medicaid home care 'fraud scheme'

"Justice Department Takes Aim at $10 Billion Medicaid Program: A Federal Lawsuit Targets New York State's Home Health Program and a Private Company Accused of Misleading Claims. In a move that could have far-reaching implications for the state's Medicaid system, the US Department of Justice has filed a lawsuit against the New York State Department of Health, the state's Medicaid director, and a company operating a $10 billion home health program. Public Partnerships LLC, the defendant in the suit, is accused of making false or misleading statements about its ability to take over and run the state's Consumer Directed Personal Assistance Program (CDPAP), which provides critical care services to thousands of New York residents. The Justice Department's allegations raise questions about the oversight and accountability of the program, and could potentially impact the future of Medicaid services in the state."

The Justice Department is suing the New York State Department of Health, the state’s Medicaid director and a company operating a $10 billion home health program for the state. In the suit, filed Tuesday in the Eastern District of New York, the DOJ accused Public Partnerships LLC (PPL) of making false or misleading statements about its ability to take over and run the state’s Consumer Directed...