Criminal Charges Filed In Medicaid Fraud Scheme

WASHINGTON – Officials from the Trump administration reported on Thursday that they have pressed criminal charges against 15 individuals accused of defrauding taxpayers of $90 million through Minnesota’s Medicaid program, which has been dubbed “the largest autism fraud scheme in history.”

Colin McDonald, an assistant attorney general with the National Fraud Enforcement Division, informed reporters in Minneapolis that this operation resulted in “the largest loss ever prosecuted in a Medicaid case.”

He shared a particularly troubling case: “One patient was supposed to receive 24-hour care, but instead, he was served by a fraudster and didn’t receive any services. Tragically, the patient was later found dead.”

Among the indicted individuals, two are accused of giving kickbacks to parents who enrolled their children in fake centers that falsely claimed to treat autism spectrum disorders.

Robert F. Kennedy Jr., the Secretary of Health and Human Services, remarked, “Investigators uncovered a blatant scheme to bill taxpayers for services that didn’t exist, along with fraudulent diagnoses and phony treatments, while these criminals enriched themselves with public funds.”

He emphasized, “When criminals exploit these programs, taxpayers lose billions and vulnerable children are left without necessary care.”

Authorities are examining seven state-run Medicaid programs, and interestingly, one defendant reportedly became crippled after evading federal surveillance by jumping from a fourth-floor balcony early Thursday.

Meanwhile, two other defendants orchestrated a $22 million scheme that was intended to help disabled individuals but was instead exploited like a lottery ticket, generating millions for the scammers.

The stolen funds were used to purchase luxury real estate, cars, and high-end jewelry.

“To all the scammers out there: Celebrate today because your days of fun and freedom are numbered,” McDonald warned.

Law enforcement officials pointed out that alarming increases in claims from Minnesota’s housing stability services and autism programs have reached hundreds of millions of dollars since 2020.

McDonald added, “One of our programs completely shut down because we ran out of funds. It’s all gone.”

Dr. Mehmet Oz, Administrator for the Centers for Medicare and Medicaid Services, announced that $350 million in federal reimbursements for the Minnesota program is currently deferred.