The New York State Attorney General’s Office says a Tompkins County man is in trouble for allegedly using his company to steal more than $1 million from Medicaid.
New York Attorney General Letitia James claims David Moore, through his company ASAP 2, allegedly stole over $1 million from Medicaid by using fictitious billing and an illegal kickback scheme to overcharge for transportation services. For years, Moore illegally paid Medicaid recipients to use his company, and then fraudulently overcharged Medicaid for the rides he provided.
“Patients across the state depend on medical transportation providers to access the care they need,” said Attorney General James. “David Moore exploited his role to steal from New York’s Medicaid program, putting vulnerable New Yorkers at risk and undermining honest businesses that provide essential transportation services. My office will continue to put a stop to all those who try to illegally profit by abusing our health care system.”
Medicaid recipients who lack access to transportation can use approved transportation providers to travel to and from covered medical services. These providers receive reimbursements from Medicaid for the rides they provide. From January 2019 to August 2023, Moore allegedly paid Medicaid recipients to use his service, submitted claims for fictitious trips, and significantly inflated the mileage of trips that did happen to overcharge Medicaid by over $1 million. For example, Moore submitted claims for fictitious trips by allegedly billing trips with multiple passengers as if each passenger was in a separate vehicle, greatly increasing the fees for a single trip.
Moore also allegedly paid kickbacks to Medicaid patients to use his services. This allowed him to illegally recruit customers to fraudulently bill Medicaid for more rides, undermining the businesses of other transportation providers in the Southern Tier. Moore made off-the-books payments to Medicaid recipients – some of whom were suffering from substance use disorder – using Cash App and Venmo to incentivize them to take rides with his service.
Moore was charged with Grand Larceny in the First Degree, two counts of Health Care Fraud in the Second Degree, and three counts of Medical Assistance Provider Prohibited Practices. The Grand Larceny charge carries a maximum sentence of up to 25 years in state prison.
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