Federal and state authorities conducted coordinated raids on more than 80 senior centers across New York City on Tuesday as part of a broad investigation into suspected Medicaid fraud. The sweep targeted facilities in Brooklyn, Queens, and other boroughs, including two adult day care centers in Flushing visited by Centers for Medicare and Medicaid Services (CMS) Administrator Dr. Mehmet Oz.
Officials involved in the operation expressed concerns over billing practices that appeared inconsistent with the actual services provided. Allegations include fraudulent billing for activities such as mahjong games, false claims for wheelchair transportation, and charges for nonexistent clients. The investigation is part of an ongoing effort to enhance oversight of Medicaid-funded programs serving elderly populations.
During the visits to Kent Senior Care and Evergreen Adult Day Care in Queens, Dr. Oz questioned facility directors about discrepancies in attendance and billing. He noted that while the centers claimed reimbursement for a full capacity of clients, the observed number of seniors present was significantly lower. “The bills are much higher than they should be,” Oz said after examining records and conditions at the Flushing centers. He also challenged the accuracy of attendance logs that indicated seniors participated five days a week, despite acknowledgments from staff that most clients attended two to three days weekly.
Authorities described the raids as a response to patterns of potentially fraudulent activity spanning not only New York but also nine other states. The federal probe involves the FBI, the Department of Health and Human Services Office of Inspector General, and the New York Police Department. Dr. Oz suggested that some schemes may be linked to organized crime groups, referencing reports of payments between $1,000 and $1,200 made to seniors as part of the suspected fraud, though specific details have not been disclosed.
Adult day care centers provide structured services including meals, recreational activities, and social support to eligible seniors, with funding sourced through Medicaid reimbursement. While many operators comply with regulations, investigators are focusing on facilities with billing that appears inconsistent with the actual level of service.
Officials served notices to the centers visited, informing them that they were under federal scrutiny for their billing practices. At the Flushing sites, mahjong tables were observed, an activity cited by staff as beneficial for seniors’ cognitive and social engagement.
The investigation reflects heightened federal and state efforts to clamp down on Medicaid fraud in programs serving vulnerable populations, ensuring that public funds are used appropriately to support senior care services. Authorities have not announced any formal charges as the inquiry continues.