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US Justice Department accuses New York state of letting fraud flourish in Medicaid program

Federal lawyers say New York used a sham bidding process and let PPL generate millions in illegal profits from the $10 billion home care program.

  • The U.S. Justice Department accused New York state officials of facilitating fraud by letting a Georgia company abuse a $10 billion program to provide home care to disabled Medicaid patients.
  • The Justice Department said the Georgia company, Public Partnerships LLC, used a sham bidding process to gain control of the program and took advantage of lax oversight to raid millions of dollars by billing at excessive hourly rates.
  • New York officials denied the accusations, stating the bidding process was fair and legally sound, and accused Washington Republicans of using the lawsuit to score political points against vulnerable New Yorkers.
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Bias Distribution

  • 46% of the sources lean Right
46% Right

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Spectrum Local News broke the news in United States on Tuesday, June 16, 2026.
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