Massive $1.2 Billion NY Health Fraud Scandal Exposed: Scheme Dubbed 10x Worse Than Minnesota

“The Post was able to identify at least $179 million stolen by CDPAP recipients over the last 10 years, while the program wasted at least $1 billion of taxpayer cash on middlemen.”

Ballal Hossain, authorities say, enlisted a dozen family members as paid caregivers under New York’s Consumer Directed Personal Assistance Program (CDPAP), which allows relatives to be compensated for looking after a sick loved one. Over six years, the family reportedly collected $348,000 caring for Hossain’s elderly mother in a Manhattan apartment, all while she was living in Bangladesh the whole time.

According to prosecutors, Hossain’s brother even pretended to be their ailing mother during surprise inspections. The elaborate ruse eventually unraveled, leading to Hossain’s conviction for grand larceny — one of the more brazen scams to hit a Medicaid program that state officials now admit is mired in waste and fraud.

Created in 1994 to help keep seniors out of nursing homes, CDPAP ballooned into a massive industry with little oversight. Anyone can qualify as a caregiver — no medical training, certification, or prior experience required. Continue reading…