Feds Freeze NY Medicaid Fraud Funds | Texas News

Federal authorities are withholding millions in Medicaid fraud funding from New York, citing insufficient criminal convictions by the state’s fraud unit — a move part of a nationwide crackdown on healthcare fraud. This isn’t the first time this year the administration has suspended funding for a state’s Medicaid fraud unit, especially targeting Democratic-run states, following a prior data error in New York’s probe. New York’s AG Letitia James fiercely defends her office’s record, highlighting over $627 million recovered and national recognition for anti-fraud efforts, while threatening legal action. The Inspector General argues New York’s unit is too slow and underperforming compared to peers, though New York insists it tackles complex, high-impact cases. The freeze, set to last through September 30, follows similar suspensions in Hawaii and warnings to Minnesota and California, expanding a growing list of states under federal scrutiny. Listen in comfort:Get a discount on a Soli Pillow: http://solipillow.com/discount/dnn Advertise on DNN:[email protected] This is an automated, high-level news summary based on public reporting.Report issues to [email protected]. View sources & latest updates:https://sources.thednn.ai/b04fbd6ea81c0f24