The New York Times, January 12, 2011

The federal government has accused New York City of overbilling Medicaid by "at least tens of millions of dollars" by improperly approving 24-hour home care for thousands of patients. In a lawsuit filed Tuesday, the United States attorney's office in Manhattan also insinuated that the city had cheated the federal government after a 2006 change in Medicaid rules relieved the city of having to contribute to the cost of the round-the-clock care. In many cases, the government said, the city enrolled patients who did not need such services. And in some cases, the lawsuit alleged, the city approved in-home care for people who needed more intensive services, like nursing home care, but which would have required the city to contribute to the cost.
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