The Medicaid program, which pays for medical services to eligible low income beneficiaries, is jointly funded by the federal and state governments. All states as well as Washington, D.C. and U.S. territories have Medicaid programs, and New York has participated in the Medicaid program since shortly after it was created in 1965. New York’s Medicaid expenditures have swollen to some $52 billion per year, the largest by far of any state, and per capita Medicaid expenditures in New York are twice the national average.
Fraud has been a long-standing problem in New York’s Medicaid program, and in those of many large states. The task of rooting out and preventing fraud and abuse in New York’s Medicaid program was at one time primarily the responsibility of the New York State Department of Health, which administers Medicaid, and the Attorney General’s Medicaid Fraud Control Unit (MFCU).
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