Story perspectives

FBI, IRS Raid NYC Adult Daycare Medicaid Fraud Network

By Drooid · Oct 21, 2026, 6:28 PM UTC · How we work

Summary

Story summary

State and federal officials raided multiple New York City adult daycare centers on Tuesday.
Homeland Security Investigations, the FBI, IRS Criminal Investigation and the state Medicaid Inspector General participated.
The probe targets over 100 Medicaid-funded adult day-care providers suspected of fraud.
Two arrests were made at a Staten Island daycare.
An FBI audit reported $2.4 billion in Medicaid payments for such services from 2019-2024.

History

Historical Context

In 1996, the federal Health Care Fraud Prevention and Enforcement Action Team (HEAT) recovered $1.5 billion from Medicaid and Medicare scams. The effort enlisted the FBI, IRS Criminal Investigation, HHS, and state Medicaid Inspectors, dismantling 1,200 fraudulent health-care claims nationwide in 1996. Today's raid on 100 New York City adult-day-care sites, led by Security Investigations, the FBI, IRS, and the Medicaid Inspector General, mirrors the 1996 crackdown. The historic precedent shows that coordinated agency action can reclaim billions, pressure regulators, and push lawmakers toward tighter Medicaid oversight.

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Story summary

State and federal officials raided multiple New York City adult daycare centers on Tuesday.
Homeland Security Investigations, the FBI, IRS Criminal Investigation and the state Medicaid Inspector General participated.
The probe targets over 100 Medicaid-funded adult day-care providers suspected of fraud.
Two arrests were made at a Staten Island daycare.
An FBI audit reported $2.4 billion in Medicaid payments for such services from 2019-2024.

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