Two operators of an adult daycare in Staten Island are accused of swindling Medicaid out of over $500,000 by submitting claims for numerous seniors they never cared for, including individuals who were deceased or out of the country, according to prosecutors.
Yangsim Oum, 79, and her daughter Juyone Choe, 49, the owner and program director of SI Day Care Center, Inc. located on Forest Avenue, were arrested Tuesday as part of an investigation known as “Operation Golden Grift,” led by the Staten Island District Attorney’s Office.
The duo faces a massive indictment with 457 counts, alleging they fraudulently collected over $530,000 in just four months, from April 17 to August 25.
Among this shocking total is approximately $13,000 meant for services supposedly provided to 32 seniors who were either deceased or living abroad at the time, according to prosecutors.
District Attorney Michael McMahon criticized the mother and daughter as “one of Staten Island’s most lucrative con artists” during a press conference announcing the charges.
He expressed outrage, stating, “All these defendants saw were dollar signs,” accusing Oum and Choe of utilizing vulnerable seniors as pawns in a large-scale criminal operation.
If found guilty of the main charge, which is second-degree healthcare fraud, both Oum and Choe could face up to 15 years in prison. They are also charged with numerous counts of first-degree falsifying business records.
McMahon also indicated that there are likely many other criminals perpetrating similar schemes. “This is just the tip of the iceberg,” he remarked. “It seems that countless other adult daycare centers are involved in similar criminal activities.”
This incident is part of a broader investigation targeting approximately 100 senior care providers throughout the city, which involved various state, local, and federal agencies looking into potential Medicaid fraud.
“The New York State Department of Health and the Office of the Medicaid Inspector General collaborated with law enforcement in a concerted effort to address suspected fraud in the social adult daycare program,” stated State Health Commissioner Dr. James McDonald.
He elaborated that the investigation focuses on providers suspected of illegal actions such as money laundering, kickbacks, improper billing, and other fraudulent activities, resulting in over 100 referrals to the attorney general for further inquiry and prosecution.
During the operation, agents from Homeland Security Investigations were seen at adult daycare centers in Brooklyn, seizing evidence, while Dr. Mehmet Oz, the administrator of the Centers for Medicare and Medicaid Services, visited several facilities in Queens.
This crackdown follows a lengthy investigation, which, according to Governor Kathy Hochul, is a significant effort by state and federal entities to tackle fraud and abuse.
Adult daycare centers generally assist seniors who require support due to physical or cognitive challenges, providing meals, safety, and activities during the day when family members are unavailable.
Interestingly, many of the locations raided, including the one in Staten Island, were legitimately serving their clients, and prosecutors mentioned steps were being taken to connect those seniors with reputable providers.
“We do not want to have more innocent victims of this deception and fraud,” McMahon stated. “No members of our community will be displaced or left without essential services as a result of yesterday’s operation.”
Fraud schemes like this have gained significant attention in Washington and the media over recent years, particularly following a 2025 case involving a Minnesota daycare known as the “Quality Learning Center,” which was caught defrauding the government out of millions through false claims for children it never served.
That case was largely uncovered by an investigative vlogger, and during a recent effort to combat fraud, President Trump announced bounties of $30,000 for tips that lead to indictments in similar cases.
