Republican candidate for New York State Comptroller Joseph Hernandez joined investigative journalist Frank Scales in the Bronx to look into allegations of Medicaid fraud, from cash for medical rides that never happen to prescription drugs sold back to pharmacies.
The investigation found a dense cluster of healthcare facilities packed into a small part of the Bronx, and residents described what they had seen firsthand. One man said he knows about 50 people who are each paid roughly $150 to enroll in medical transportation without ever taking a ride. Getting paid to sign up was easy, he said. Getting an actual ride was nearly impossible.
A Bronx woman said doctors kept prescribing her promethazine even though she didn’t need or take it, and admitted to reselling it to pharmacies at a discount. Another resident said he was offered money to let others use his Medicaid card.
Hernandez confronted pharmacies directly about the allegations. None offered assurances that the activity wasn’t happening. The residents’ allegations have not been independently established as criminal violations.
“In one investigation, we uncovered serious allegations of Medicaid fraud that demand immediate attention,” said Hernandez. “Tom DiNapoli has had nearly 19 years as Comptroller to root out fraud and protect taxpayer dollars. New Yorkers deserve to know why these schemes are allegedly happening and what his office has done to stop them.”
Hernandez has proposed a dedicated Fraud Strike Team, expanded real-time audits, and advanced data analytics to catch suspicious Medicaid billing patterns.
“When people are getting paid for medical rides they never take, prescription drugs are allegedly being sold back to pharmacies, and Medicaid cards are being treated like cash, taxpayers deserve answers,” Hernandez continued. “As Comptroller, I will follow the money, audit the payments, and refer evidence of criminal wrongdoing to law enforcement. Medicaid is supposed to help vulnerable New Yorkers, not enrich people exploiting the system.”
Watch the full investigation here.
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