Trump Administration Suspends Funding for New York’s Medicaid Fraud Unit
Officials said the unit secured the fewest criminal fraud convictions among similar-sized states from 2023 to 2025 and could lose certification if problems persist.
- The Trump administration froze federal funding for New York's Medicaid Fraud Control Unit, accusing the state of not securing enough criminal indictments.
- This is the second suspension of a state Medicaid fraud unit by the Republican Trump administration this year, part of its aggressive anti-fraud actions in the healthcare sector.
- Joan Alker of Georgetown University said there's an irony in the federal government cutting off money intended for prosecuting fraud when its stated goal is to do just that.
43 Articles
43 Articles
HHS pulls federal funding from New York’s Medicaid fraud unit over dismal prosecution record
The Trump administration cut off federal funding for New York’s Medicaid Fraud Control Unit on Tuesday, telling Attorney General Letitia James that her office has produced fewer criminal indictments than any comparable state unit, by a wide margin, despite overseeing one of the largest Medicaid programs in the country. HHS Inspector General Thomas March Bell...
Trump moves to freeze funding to New York’s Medicaid fraud unit
The Trump administration said it is freezing millions of dollars in federal funding for New York’s Medicaid Fraud Control Unit (MFCU), the state division that investigates and prosecutes healthcare provider fraud and patient abuse or neglect in Medicaid-funded facilities. In a letter sent Tuesday to state officials, Department of Health and Human Services Inspector General…
HHS Cuts Funding to New York Medicaid Fraud Control Unit for Poor Performance
The Trump administration has suspended funding for New York’s Medicaid Fraud Control Unit due to its alleged failure to combat fraud, the Department of Health and Human Services (HHS) Office of Inspector General announced on June 30. The administration denied recertification of the New York fraud unit, which makes it ineligible for federal funds after Sept. 30, the end of the 2026 fiscal year. New York receives about $60 million per year in taxp…
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