started · updated
New York adult daycare centers raided in massive Medicaid fraud probe
Federal and state law enforcement agencies conducted coordinated raids on more than 100 adult daycare providers across New York City on October 20, 2026. The operations, which targeted facilities in Brooklyn, Queens, and Staten Island, are part of a months-long investigation into suspected Medicaid fraud involving money laundering, illegal kickbacks, and improper billing.
Investigators are examining allegations that some operators billed for services never provided, including claims for seniors who were deceased or out of the country. In Staten Island, two operators from SI Day Care Center, Inc. were arrested and charged with 457 counts for allegedly bilking Medicaid of $530,000.
New York Governor Kathy Hochul has directed the Department of Health to consider ending the state's $500 million Medicaid social adult day care benefit to eliminate continued waste and abuse. The Centers for Medicare and Medicaid Services (CMS) has also issued a compliance warning to the state, noting that New York's per capita spending for adult daycare is 40% to 60% higher than the national average.
Entities
Centers for Medicare & Medicaid Services · Federal Bureau of Investigation · Homeland Security Investigations · Kathy Hochul · Mehmet Oz · New York City · New York State Department of Health
Claims
What the coverage asserts, and how many sources carry each claim.
- [● 11 SOURCES] Raids took place in Brooklyn, Queens, and Staten Island. www.singtaousa.com · world-today-journal.com · www.newsday.com · www.nycriminallawyers.com · pulptastic.com · +5 more
- [● 2 SOURCES] New York facilities accounted for 17% of the $3.35 billion in national Medicaid adult daycare payments in 2024. www.singtaousa.com · world-today-journal.com
- [● 12 SOURCES] The investigation targets Medicaid fraud involving money laundering, kickbacks, and improper billing. www.singtaousa.com · pulptastic.com · world-today-journal.com · matzav.com · www.newsday.com · +7 more
- [● 20 SOURCES] Federal and state law enforcement raided more than 100 adult daycare providers in New York on Tuesday. matzav.com · www.newsday.com · www.singtaousa.com · www.ntd.com · freerepublic.com · +15 more
- [● 4 SOURCES] Dr. Mehmet Oz visited senior care centers in Flushing, Queens, to investigate suspicious billing practices. internewscast.com · vinnews.com · abc7ny.com
- [○ 1 SOURCE] Per capita Medicaid spending for adult daycare in New York is 40% to 60% higher than the national average. www.singtaousa.com
- [○ 1 SOURCE] Dr. Mehmet Oz suggested a ‘Chinese mafia’ could be involved in the suspected Medicaid fraud. internewscast.com
- [● 5 SOURCES] There are more than 400 adult daycare programs serving 45,000 Medicaid members in New York state. world-today-journal.com · www.newsday.com · www.ntd.com · uticaphoenix.net · www.zerohedge.com
- [● 2 SOURCES] Two Staten Island operators were arrested and charged with 457 counts for allegedly bilking Medicaid of $530,000. nypost.com · offthepress.com
- [● 3 SOURCES] Governor Hochul directed the Department of Health to consider ending the state's Medicaid social adult day care benefit. www.zerohedge.com · www.ntd.com · uticaphoenix.net