Feds Sue New York City For Overbilling Medicaid

Saying it’s caught New York City’s hand in the Medicaid cookie jar, the federal government has sued the city, claiming it billed Medicaid for “at least tens of millions of dollars” more than it was legally allowed.

The New York Times reports the point of contention is that the city approved of round-the-clock care for unqualified patients. The feds say the city ignored recommendations of medical professionals and steered patients into 24-hour care, even when they may have been better off in nursing homes. The Times says NYC would have had to contribute to the cost of the latter, but not the former.

“It goes without saying that ultimate medical decisions about patient care should be made by doctors and nurses, not government bureaucrats, and they should be based first and foremost on the best interests of the patient,” the United States attorney in Manhattan said in a statement.

U.S. Says New York City Overbilled Medicaid [The New York Times]