$68M Medicaid Scam EXPOSED

Scam text overlaid on distorted 100 dollar bill

Two Brooklyn residents plead guilty to a $68 million Medicaid fraud, highlighting systemic exploitation within America’s healthcare safety net.

Story Snapshot

Two individuals plead guilty in a $68 million Medicaid fraud scheme in Brooklyn.
The scheme involved fake enrollments and kickbacks to Medicaid recipients.
The fraud targeted Managed Long-Term Care plans for non-existent services.
Both defendants agreed to forfeit $1 million combined and face sentencing.

Details of the Fraud Scheme

Manal Wasef and Elaine Antao, both 46 years old from Brooklyn, have admitted guilt in a massive Medicaid fraud operation that siphoned over $68 million. The fraudulent activities took place at the Happy Family Social Adult Day Care Center Inc. and Family Social Adult Day Care Center Inc., as well as through Responsible Care Staffing Inc. Between October 2017 and July 2024, the pair orchestrated kickbacks to Medicaid recipients for non-existent services, using shell companies to launder the illicit proceeds.

They enlisted the help of marketers, who posed as family members during evaluations, to enroll individuals in the Medicaid Managed Long-Term Care plans for services that were never rendered. This fraudulent scheme involved paying cash bribes to recipients, many of whom were not even in the U.S. on the service dates. This case is a significant example of the systemic vulnerabilities present in Medicaid.

Legal Proceedings and Guilty Pleas

The guilty pleas were entered in a Brooklyn federal court on January 15, 2026. These admissions follow the earlier pleas of five other accomplices, which include Amran Hashmi, Joseph Helmy, Amal Ismail, Zakia Khan, and Seema Memon. As part of their plea deals, Wasef and Antao have agreed to forfeit a combined total of $1 million. They each face a maximum of 10 years in prison, with sentencing dates pending. The Department of Justice and the U.S. Attorney’s Office are continuing to pursue additional charges against other involved parties.

Assistant Attorney General Duva commented on the case, emphasizing the significance of rooting out fraud and protecting taxpayer dollars. The fraudulent activities not only drained vital Medicaid funds but also denied genuine care to vulnerable populations in Brooklyn, particularly the elderly and disabled communities.

Implications and Future Outlook

The immediate consequence of this case is the recovery of a small portion of the defrauded funds. However, the broader implications are significant, suggesting a need for more stringent oversight of Medicaid operations, especially in dense urban areas like Brooklyn. The fraud has highlighted the ease with which unscrupulous individuals can exploit government programs designed to aid the most vulnerable.

In the long term, this case may lead to increased scrutiny and audits of adult day care centers and Managed Long-Term Care plans. The Department of Justice’s proactive stance on such frauds is expected to deter similar schemes in the future, thereby safeguarding taxpayer money and ensuring that Medicaid benefits reach those truly in need.