
New York State has been hit with a lawsuit from the federal government over an alleged fraud scheme involving the state's $10 billion Consumer Directed Personal Assistant Program (CDPAP). The U.S. Department of Justice, which announced the lawsuit on Tuesday, accuses the state's Department of Health (NYSDOH) of awarding Georgia-based Public Partnerships, LLC (PPL) a lucrative CDPAP contract after conducting what it calls a "sham" bid process. The DOJ adds that despite learning of PPL's intent to deviate from the representations made in its bid and violate the financial terms of the contract, the NYSDOH failed to take action to hold PPL accountable and to protect public funds from misuse, resulting in a fraud scheme that remains unchecked to this day.
Ilana Berger, New York Political Director of New York Caring Majority, released the following statement:
Hochul's shameful disregard for caregivers and the communities they serve -- even when her handpicked provider raised red flags -- has bolstered Trump's rapacious plan to gut Medicaid, giving ammunition to his otherwise completely illegitimate argument of mass fraud. Medicaid is a lifesaving and necessary program that millions of New Yorkers rely on. The Governor has already slashed health insurance for nearly half a million people, and now her betrayal has put many more in serious jeopardy. We need real leaders who will stand up to Governor Hochul and Albany's stunning neglect this session for the health care and home care needs of millions of New Yorkers.