Two Defendants Plead Guilty To Fraud Scheme Involving Data Stolen From Hospital Patients

 

United States Attorney for the Southern District of New York, Jay Clayton; Assistant Director in Charge of the New York Office of the Federal Bureau of Investigation (“FBI”), Christopher G. Raia; and Special Agent in Charge of the Northeast Region of the U.S. Department of Labor Office of  Inspector General (“DOL-OIG”), Jonathan Mellone, announced today that WILKINS ESTRELLA and CHARLENE MARTE pled guilty before U.S. District Judge Gregory H. Woods to conspiracy to commit wire fraud and bank fraud in connection with using social security numbers and other personally identifiable information belonging to hundreds of victims to open debit cards and attempt to fraudulently obtain $1.6 million in pandemic relief funds from the Internal Revenue Service (“IRS”) and the New York State Department of Labor.  The scheme resulted in almost $1 million in actual losses.  ESTRELLA, a former clerk at a Bronx hospital, is also charged with the wrongful disclosure of individually identifiable health information for accessing and stealing the data of at least 4,005 hospital patients for use in the fraud scheme.  ESTRELLA pled guilty yesterday and is scheduled to be sentenced on December 1, 2025.  MARTE pled guilty on July 28, 2025, and will be sentenced on November 5, 2025. 

“Wilkins Estrella stole the personal data of thousands of people, including hospital patients, and used this data along with his partner Charlene Marte to claim money that was intended to assist struggling Americans during the pandemic,” said U.S. Attorney Jay Clayton.  “Defrauding federal programs harms all New Yorkers and our Office is committed to stopping it.” 

“Wilkins Estrella and Charlene Marte exploited thousands of patient records to steal almost one million dollars from various government programs,” said FBI Assistant Director in Charge Christopher G. Raia.  “These defendants misused sensitive identifying information to perpetuate this illicit scheme and reap unlawful proceeds.  The FBI remains committed to pursuing any individual who targets confidential medical information for personal enrichment.”

“Wilkins Estrella and Charlene Marte committed numerous frauds against multiple government agencies, including a scheme to defraud the New York State Department of Labor’s unemployment insurance program by misusing the stolen identities of individuals to falsely obtain benefits,” said DOL-OIG Special Agent in Charge Jonathan Mellone.  “We will continue to work with our federal and state law enforcement partners to safeguard the integrity of U.S. Department of Labor programs.”

As alleged in public court filings, statements at public court proceedings, and the charging documents in the case:                                                                                    

From at least 2020 to 2022, ESTRELLA and his romantic partner, MARTE, misused the names, social security numbers, and other personally identifiable information belonging to hundreds of individuals to fraudulently obtain almost $1 million in COVID-19 stimulus checks and tax refunds from the IRS and unemployment insurance benefits from the New York State Department of Labor.  ESTRELLA and MARTE also arranged for these and other funds to be loaded onto hundreds of debit cards that they opened in other people’s names using stolen data, and had the cards mailed to their homes and to the homes of their family members.

ESTRELLA and MARTE obtained this data from multiple sources, including a hospital in the Bronx where ESTRELLA worked as a business clerk for almost a decade.  In 2020, ESTRELLA was terminated from that role after an internal systems audit revealed that he had improperly accessed the protected health information of at least 4,005 hospital patients.

ESTRELLA, 40, of Hackensack, New Jersey, and MARTE, 31, of the Bronx, New York, each pled guilty to conspiracy to commit wire fraud and bank fraud, which carries a maximum sentence of 30 years in prison.  ESTRELLA also pled guilty to wrongful disclosure of individually identifiable health information, which carries a maximum sentence of 10 years in prison. In addition, ESTRELLA and MARTE each agreed that they are jointly and severally liable for $951,618.20 in forfeiture and the same amount in restitution.

The statutory maximum penalties in this case are prescribed by Congress and provided here for informational purposes only, as the sentencings of the defendants will be determined by a judge. 

Mr. Clayton praised the outstanding investigative work of the FBI and DOL-OIG and thanked the New York State Department of Labor for its assistance in the investigation of the case.

NYS Office of the Comptroller DiNapoli: Rural Counties Face Shortage of Health Professionals

 

A new report by State Comptroller Thomas P. DiNapoli examined healthcare professional shortages in 16 rural counties in New York state and found alarming shortfalls in primary care, pediatric, and obstetrician and gynecologist (OBGYN) doctors, dentists and mental health practitioners, with several counties having no pediatricians or OBGYN doctors at all. The shortage of mental health practitioners in New York’s rural counties may be the most severe, with all counties designated by the federal government as areas having professional shortages.

The rural counties examined were Allegany, Cattaraugus, Chenango, Delaware, Essex, Franklin, Greene, Hamilton, Herkimer, Lewis, Schuyler, Steuben, Sullivan, Washington, Wyoming and Yates.

“Having access to health care is an essential quality of life issue and helps people live healthier lives,” DiNapoli said. “Addressing gaps in the rural healthcare workforce to alleviate current shortages and plan for future demand will not only positively impact the health of people living in less populated areas of New York, but could also create new jobs and bolster our rural economies.” 

Key Findings:

• Ten of the sixteen rural counties covered in this report are federally designated as Health Professional Shortage Areas for primary care, dental and mental health; all 16 counties examined have shortage designations for at least two of these fields of medicine.
• On average, the 16 rural counties have four primary care physicians per 10,000 people – a ratio that is less than half that of the state (8.1) and the U.S. (8.4) and falls below the Graduate Medical Education National Advisory Committee (GMENAC) guideline (6.9). For the nearly 173,000 people within designated Primary Care Health Professional Shortage Areas (HP Shortage Area) who are underserved (23% of the rural counties’ population), these shortages are far more acute – as low as 0.12 physicians per 10,000 people.
• The 16 rural counties have 0.5 pediatricians for every 10,000 people – less than one-fifth of the state ratio (2.8), one-third of the U.S. (1.8), and less than half the GMENAC guideline (1.2). There are no pediatric physicians in three of the 16 counties.
• The OBGYN physician to 10,000 population ratio of the 16 rural counties is 0.4 – meaning there is roughly one OBGYN physician for every 23,000 people. This is less than half the GMENAC guideline (1). Four counties – Hamilton, Herkimer, Schuyler and Yates – have no OBGYN physicians at all.
• The 16 rural counties’ dentist to 10,000 population ratio (3.6) is less than half of the state ratio (8.3). There are no dentists in Hamilton County. Ten of the sixteen rural counties have dental HP Shortage Areas for the Medicaid eligible population with a combined underserved population of 134,248 people, or nearly 18% of the population.
• The rural counties’ mental health practitioner to 10,000 population ratio (6.9) is less than half that of the state (16.1). All of the rural counties are designated as mental health HP Shortage Areas either for the entire population, or for portions of the population like the low income or Medicaid eligible portions of the population. In the rural counties, there are 305,265 people within mental health HP Shortage Areas who are designated as underserved by the Health Resources Services Administration, or nearly 41% of the population.

Impact of Federal Actions

The limited number of providers and physical facilities in New York’s rural counties presents an additional barrier to recruiting more healthcare professionals. Not all counties have hospitals or rural health clinics, and those that do operate on tight margins, or at a loss. Reductions in eligibility for Medicaid and the Essential Plan made in the recently enacted federal budget bill (Public Law No: 119-21) may exacerbate the issue, potentially forcing some rural hospitals to close. New York state has six rural hospitals that are in the top 10% for Medicaid payer mix throughout the nation and an additional five that have experienced three consecutive years of negative margins. In the 16 rural counties examined, 204,899 people, or 27% of the population, were enrolled in Medicaid as of May 2025.

It is unclear at this time the extent to which the impact of Medicaid cuts on rural healthcare systems will be offset by funding made available through the federal Rural Hospital Transformation Program. Public Law No: 119-21 allocated $10 billion a year from federal fiscal years 2026 to 2030 to support rural hospitals, clinics, federally qualified health centers, and community mental health centers, but it is not guaranteed that all states that apply will receive funding.

Overcoming Rural Barriers to Healthcare Access

Transporting people to healthcare, particularly those with limited or no access to cars, is particularly challenging. Most rural counties have limited public transportation options, but paratransit for the elderly is relatively common, and there may be opportunities to expand services to other demographics where such services don’t exist.

The expansion of telemedicine for certain types of care is another option to bolster rural health systems but is not a complete solution. Physical examinations are more difficult, when possible, through telemedicine and many necessary services like bloodwork and other testing require in-person access to patients. For other types of care, such as mental health counseling, telemedicine has the potential to increase access to providers.

Other strategies to increase healthcare access involve meeting people where they are. Mobile clinics can be deployed on a regular schedule to underserved rural communities, alleviating transportation barriers to access, and without the cost of opening and maintaining brick and mortar clinics. School-based health centers are another option to expand healthcare access to rural New York.

Policies to bolster the rural healthcare workforce can also be pursued, such as incentivizing the training of new healthcare professionals to serve in rural New York through loan forgiveness programs and rural stipends or subsidies, and attracting existing professionals to rural areas through similar programs or implement reciprocity programs for out-of-state professionals to serve in rural areas.

Analysis

The Doctor is…Out: Shortages of Health Professionals in Rural Areas

Related Reports

Rural New York: Challenges and Opportunities

Availability, Access and Affordability: Understanding Broadband Challenges in New York State

Audit: Maternal Health

MAYOR ADAMS EXPANDS PARTNERSHIP WITH STUDENT LOAN ASSISTANCE COMPANY SUMMER TO HELP NEW YORKERS KEEP UP TO $1 BILLION IN THEIR POCKETS BY REDUCING MONTHLY STUDENT LOAN PAYMENTS AND IDENTIFYING WAYS TO SAVE ON COLLEGE

Builds on Adams Administration’s Program to Help Wipe Out  Estimated $360 Million in Student Loan Debt for 100,000 Public Servants 

  

Builds on Mayor Adams’ Efforts to Make New York City More Affordable, Best Place to Raise a Family  

New York City Mayor Eric Adams, New York City Department of Consumer and Worker Protection (DCWP) Commissioner Vilda Vera Mayuga, and New York City Department of Citywide Administrative Services (DCAS) Commissioner Louis Molina today announced a first-of-its-kind municipal student loan reduction and college savings assistance program now available to all New York City residents that will help them potentially keep $1 billion in their pockets. The program builds on the city’s recent partnership with Summer — a leading company that helps borrowers navigate student loan repayment options — to help wipe out $360 million in student loan debt for 100,000 public servants through enrollment in the federal government’s Income Driven Repayment Plans and the Public Service Loan Forgiveness program. The city’s program will now be expanded to also offer an estimated 1.4 million New Yorkers who have student loan debt or are enrolling in college with assistance on managing and paying down their existing loans with lower monthly payments, as well as specialized assistance for approximately 1.6 million parents and guardians of college-bound children in how to bring down the cost of a college education. The initiative is estimated to reduce annual student loan payments for New Yorkers by an average of $3,000 per year and an average of $7,000 per year for participants with advanced degrees. It will also help participants save up to $10,000 per year per child on total education expenses in an effort to help make New York City more affordable for families. 

  

“Getting an education shouldn't lead to a lifetime of debt; yet, for far too many New Yorkers, getting a college degree and a higher education means more bills, more debt, more money out of their pockets. We’re changing that by making higher education more affordable working-class families and helping put up to $1 billion back in their pockets,” said Mayor Adams. “Working with Summer, we will expand our groundbreaking partnership and help millions of New Yorkers bring down their monthly student loan payments by thousands of dollars and save even more on the cost of a college degree. We are lowering costs for families, helping them connect to debt relief, and making our city the best place to find opportunity, raise a family, and live the American Dream. New Yorkers deserve their fair share, and our administration is delivering it to them every day.” 

  

 “Leading a financially healthy life is a difficult task when you are tackling student loan debt — something I know firsthand,” said DCWP Commissioner Mayuga. “With this new expansion, we are extending support to millions of New Yorkers who have or are thinking of taking on student loans. Thank you to Mayor Adams, Commissioner Molina, and our partners at Summer for sharing our commitment to financially empower all New Yorkers and make our city more affordable for working-class families.” 

  

“Student loan repayment and college cost planning are increasingly complex processes to navigate. Thankfully, the City of New York is stepping up to provide additional access to resources, tools, and programs to reduce that complexity,” said Will Sealy, founder and CEO, Summer. “In just the first three months of the city employee program, the city has achieved $13.8 million in savings and a $3,800 average reduction in annual student loan payments. We’re proud to extend that impact to residents while complementing the important work already being done by city and state agencies, and we thank Mayor Adams for taking this step to expand these life-changing opportunities to even more New Yorkers.” 

  

First announced in May, the city’s pilot program with Summer to provide comprehensive assistance for city employees to take advantage of the federal government’s Public Service Loan Forgiveness program is on track to already help wipe out more than $13.8 million in student loan debt for city employees. Since launching, the program has served more than 2,000 civil servants and helped over 380 civil servants apply for Public Service Loan Forgiveness and Income-Driven Repayment Plans at the three city agencies in the pilot program.  

  

With the expansion of the program, city residents will have access to Summer’s online portal where residents can verify their eligibility for programs that lower payments, compare repayment options, manage their paperwork for enrollment in federal programs, and stay on track for loan forgiveness, if eligible. Through the partnership, city residents will be able to identify the best repayment and forgiveness strategy for their individual situation thanks to fast, free, and easy tools and customized recommendations. Additionally, the program’s college planning resources will help city residents across diverse financial and educational planning scenarios to help families navigate the challenges of preparing for higher education expenses. New Yorkers can use online tools to find out how much they need to save for college, identify ways to save, and other strategies for bridging financial gaps. These resources will supplement and coordinate with existing city resources, such as NYC Kids Rise, which helps New York City Public School students save for college.   

  

Today’s announcement builds on Mayor Adams’ ongoing efforts to wipe out burdensome debt and put money back in New Yorkers’ pockets, including ambitious initiatives to eliminate and cut city personal income taxes for hundreds of thousands of New Yorkers through his “Axe the Tax for the Working Class” plan, wipe out more than $2 billion in medical debt for working-class New Yorkers, invest hundreds of millions of dollars in early childhood education, launch free universal after-school programming, and more. The Adams administration has already saved New Yorkers more than $30 billion by connecting local residents to city, state, and federal programs, including a historic expansion of the New York City Earned Income Tax Credit that returned over $345 million to New Yorkers in tax year 2023 alone. Since the start of the Adams administration, DCWP's Financial Empowerment Centers have helped tens of thousands of New Yorkers improve their credit, reduce their debt by more than $40 million, and increase their savings by $4.5 million through free one-on-one financial counseling services. DCWP’s “NYC Free Tax Prep” program has also helped New Yorkers save $220 million in tax refunds and nearly $57 million in tax preparation fees by helping filers file approximately 257,000 tax returns for free. NYC Free Tax Prep providers also offer drop-off services and virtual tax preparation services.  

DEC Seeks Input on State Wildlife Action Plan

 

Additional Scientific Input Sought on Revised State Wildlife Action Plan for Species of Greatest Conservation Need

The New York State Department of Environmental Conservation (DEC) announced it is seeking public input on the draft revised State Wildlife Action Plan for 2025-35. In 2024, DEC sought review and input on draft species status assessments and the list of Species of Greatest Conservation Need (SGCN). Relevant data and other feedback informed the revised SGCN list and were incorporated into the species status assessments now available for final review.

“The State Wildlife Action Plan is New York State’s guiding document for managing and conserving species and habitats before they become too rare or costly to restore,” said DEC Commissioner Amanda Lefton. “I encourage the public and DEC’s conservation partners to provide feedback on the plan’s strategies and actions to address threats to New York’s species of greatest conservation need.”

The State Wildlife Action Plan (SWAP) guides management actions for New York’s SGCN and is a requirement for New York to participate in the federally funded State and Tribal Wildlife Grants Program. SGCN are existing and species native to New York that are currently experiencing threats likely to result in further decline of their populations if conservation actions are not implemented within the next 10 years.

To remain eligible for federal funding, Congress requires states and territories to develop a SWAP and update it every 10 years. States may only spend grant funds on SGCN identified in their SWAP. As part of the SWAP public outreach process, DEC solicits input from partners and stakeholders on SGCN and strategies and actions to address threats to these species.

DEC is seeking public input on the SWAP chapters and appendices, including any additional sources of information on the status and distribution of New York’s SGCN, new information on threats to these species, updates on completed or ongoing conservation projects, and efforts initiated by conservation partners since 2015 to monitor, conserve, or manage populations of SGCN or their habitats. Input is due by Sept. 20, 2025.

The draft SWAP, SGCN list, and species status assessments are available to download from DEC’s website.

This is the final formal opportunity for public review of the updated SWAP prior to its submission to the U.S. Fish and Wildlife Service. All input may be submitted by email to nyswap2025@dec.ny.gov by Sept. 20, 2025. Please include “Draft SWAP Comments” in the subject line. Information may also be sent by mail to:

SWAP Coordinator

Division of Fish and Wildlife

NYSDEC

625 Broadway

Albany, NY 12233-4754

Questions about the SGCN list or status assessment revision process can be sent to the SWAP Coordinator at nyswap2025@dec.ny.gov or call 518-402-8858. For more information on New York’s State Wildlife Action Plan, visit DEC’s website.

Former Head of SUNY Downstate Medical Center Sentenced to Up to Three Years in State Prison Following Inspector General Investigation

 

Dr. Michael Lucchesi Stole Nearly $1.5 Million in State Funds for Extravagant Personal Expenses Including Luxury Pet Care, Personal Travel, Event Tickets, and more

New York State Inspector General Lucy Lang and Brooklyn District Attorney Eric Gonzalez announced the sentencing of Dr. Michael Lucchesi, former Chairman of Emergency Medicine at SUNY Downstate Medical Center and former head of Downstate Hospital and Medical School, for stealing approximately $1.44 million in state funds through the use of a hospital credit card. 
 
Lucchesi, 67, of Staten Island, who previously pled guilty to one count of first-degree grand larceny on June 13, 2025, was sentenced today to a state prison term of one to three years. As part of his negotiated plea, Lucchesi made restitution in the amount of $720,000, which included $63,926 to the New York State Department of Taxation and Finance and $656,074 to SUNY Downstate’s clinical practice. 
 
Following a referral from SUNY, the Inspector General’s investigation revealed that between December 2016 and January 2023, Lucchesi used a state-issued credit card, intended solely for official SUNY Downstate clinical practice expenses, to make approximately $1.44 million in personal purchases. 
 
Lucchesi’s egregious theft of state funds included cash advances of approximately $115,000; pet care totaling $176,000 (including $120,000 paid to a New Jersey based pet resort & hotel); $348,000 spent on personal travel; $109,000 in payments to the New York Sports Club for membership and personal training; $92,000 for premium seating for sporting events, concerts and Broadway shows; $52,000 in catering expenses; $46,000 in tuition payments for his children; and additional payments for online shopping, flowers, liquor, electronics, and other items. 
 
“Public institutions like SUNY Downstate exist to serve New Yorkers in need – not to bankroll the luxury lifestyle of a doctor entrusted with caring for our state’s most vulnerable communities,” said New York State Inspector General Lucy Lang. “Today’s sentencing serves as a stark warning to any public servant who would abuse their position of trust for personal gain. Thank you to my team and to District Attorney Gonzalez and his staff for their partnership in combatting public corruption and holding those in positions of authority accountable.” 
 
“This defendant was entrusted with a leadership role at a critical Brooklyn medical institution and violated that trust by stealing nearly $1.5 million,” said Brooklyn District Attorney Eric Gonzalez. “SUNY Downstate does vital, lifesaving work, and these stolen funds could have been used to support patient care and medical services. Instead, they were diverted for personal expenses over a period of years. With today’s sentence, the defendant is being held accountable for this serious breach of trust. We remain committed to protecting public institutions from fraud and abuse, and I commend our prosecutors, along with our partners in the Inspector General’s Office and the Department of Taxation and Finance, for their outstanding work on this case.” 
 
“SUNY took immediate action and alerted authorities when these illegal activities were uncovered by SUNY’s auditors, and we greatly appreciate the partnership of the Inspector General and District Attorney, in particular, in bringing this matter to a close, said SUNY Chancellor John B. King Jr. “With more stringent internal controls and comprehensive oversight systems in place, SUNY Downstate is now in a stronger position.” 
 
The Inspector General thanked her team for their work on this case, including Investigative Counsel Thomas Collery, Senior Investigative Auditor Angelus Okeke, Senior Investigator Jimmy Gibson, and Investigative Auditor Victoria Oliva, under the supervision of Downstate Chief of Investigations Ben Defibaugh, New York City Deputy Inspector General Ken Michaels, and Chief Deputy Inspector General Michele Bayer. 

Inspector General Lang also expressed her gratitude to Brooklyn District Attorney Eric Gonzalez and his staff for their partnership in addressing public corruption, to the New York State Department of Taxation and Finance, Criminal Investigations Division for their work on this case, and to SUNY for its referral and cooperation with the investigation. 

THURSDAY 8/14: State Senator Gustavo Rivera Hosts Annual Backpack Giveaway and Resource Fair