Medicaid fraud: 15 charged in $90 million schemes in Minnesota

The DoJ announced criminal charges against 15 individuals in horrifying Medicaid fraud schemes

Medicaid fraud: 15 charged in $90 million schemes in Minnesota
Medicaid fraud: 15 charged in $90 million schemes in Minnesota

The US Department of Justice has charged 15 people in a series of Medicaid fraud schemes, which cost US taxpayers around $90 million.

Colin McDonald, the assistant attorney general for the national fraud enforcement division, shared that the charges involve seven different state-managed Medicaid programmes that have been "systematically pilfered by fraudsters who treated Minnesota-run programs as their personal piggy bank".

In the shocking cases, the suspects billed the state for programmes they did not provide and then would go on to spend the money on real estate holdings, cars, jewellery and other luxurious items.

About the Medicaid fraud scheme cases

One of the schemes defrauded a programme meant to help people with disabilities live independently. 

McDonald said that a man was supposed to receive around-the-clock care but instead was not served at all and died.

Another scheme involved defrauding a programme designed to offer autism medical services.

Two people are accused of allegedly paying off families who brought their children in to be diagnosed with autism, regardless of their medical needs. 


Following which, the alleged fraudsters billed the state for administering autism services that were not provided.

Eight people were accused of defrauding the Housing Stabilization Services programme, which shut down last year.

McDonald said all the funds for the services, which is meant to help seniors and people with disabilities find stable housing, had completely run out. Three of the people charged in the scheme are from Pennsylvania.

As per McDonald, the autism programme cost the state $600,000 six years ago, which has since skyrocketed to $400 million.

Robert F. Kennedy Jr., the Health and Human Services secretary, said the charges represented "the largest autism fraud bust in American history".