A.G. Schneiderman Announces Guilty Plea, $500K Settlement With Binghamtom-Area Transport Company Owners For Stealing From Medicaid By Failing To Secure Proper Insurance

By   /  July 14, 2017  /  Comments Off on A.G. Schneiderman Announces Guilty Plea, $500K Settlement With Binghamtom-Area Transport Company Owners For Stealing From Medicaid By Failing To Secure Proper Insurance

    Print       Email

MIL OSI USA

Source: US State of New York

Headline: A.G. Schneiderman Announces Guilty Plea, $500K Settlement With Binghamtom-Area Transport Company Owners For Stealing From Medicaid By Failing To Secure Proper Insurance

News from Attorney General Eric T. Schneiderman
FOR IMMEDIATE RELEASEJuly 13, 2017
New York City Press Office / 212-416-8060Albany Press Office / 518-776-2427 nyag.pressoffice@ag.NY.gov Twitter: @AGSchneiderman
A.G. SCHNEIDERMAN ANNOUNCES GUILTY PLEA, $500K SETTLEMENT WITH BINGHAMTOM-AREA TRANSPORT COMPANY OWNERS FOR STEALING FROM MEDICAID BY FAILING TO SECURE PROPER INSURANCE 
Kenneth And Sharon Cohn, Owners Of Yellow Medi-Van And Taxi, Inc., Operated Company In Violation Of Transportation Regulations And Without Workers’ Comp Insurance 
Defendants Plead Guilty; Will Forfeit Over $455K Of Funds Received And Pay Additional $50K In Settlement 
Schneiderman: Companies That Compromise Safety To Cut Costs Will Be Held Accountable
BINGHAMTON – Attorney General Eric T. Schneiderman today announced the convictions of Kenneth Cohn and Sharon Cohn and Yellow Medi-Van and Taxi, Inc., for Medicaid fraud and related charges. Broome County residents Kenneth Cohn and Sharon Cohn owned and operated Yellow Medi-Van and Taxi, Inc., a transportation company providing transportation to medical appointments for Medicaid recipients in Broome County. During the period June 2, 2012, to January 30, 2014, the defendants knowingly operated Yellow Medi-Van and Taxi in violation of Broome County transportation regulations and the New York State Workers’ Compensation Act, by failing to have Worker’s Compensation insurance. 
“The Medicaid Program relies on service providers’ compliance with licensing, safety and insurance laws,” said Attorney General Schneiderman. “Companies that try to profit by illegally cutting those costs will be brought to justice.”
“This husband and wife’s theft from taxpayers was enabled through a trail of fraud and deceit that purposefully misled regulators and left their own employees exposed and vulnerable,” said Inspector General Leahy Scott.  “I will continue to vigorously pursue and hold accountable any individual or business that violates the Workers’ Compensation Law and defrauds government.”
Kenneth Cohn pled guilty to Grand Larceny in the Second Degree, in violation of New York State Penal Law § 155.40, and Effect of Failure to Secure Compensation, in violation of the Workers’ Compensation Law. Sharon Cohn pled guilty to Offering a False Instrument for Filing in the Second Degree, in violation of New York State Penal Law § 175.30.  Yellow Medi-Van and Taxi entered a plea to Effect of Failure to Secure Compensation, in violation of the Workers’ Compensation Law. The defendants agreed to forfeit and release $455,604.39 of the funds received from Medicaid to the New York State Medicaid Fraud Control Unit. They also entered into a settlement agreement for an additional $50,000.00.
The defendants pled guilty before the Hon. Joseph F. Cawley, Broome County Court Judge. The case was adjourned to September 29, 2017 for sentencing.
The Attorney General thanks Inspector General Catherine Leahy Scott and her staff and the Broome County Government Security Division for their assistance in this investigation.
The investigation by the New York State Attorney General’s Medicaid Fraud Control Unit was conducted by Investigator Keith Hall, under the supervision of Deputy Chief Investigator William Falk and Supervising Investigator Chris Burns, Senior Auditor/Investigator Dejan Budimir, under the supervision of Regional Chief Auditor Thomas Goodman. This matter is being prosecuted by Ralph D. Tortora, III, Regional Director of the Syracuse office of the Medicaid Fraund Control Unit. Catherine Wagner is Chief of Criminal Investigations-Upstate. The Medicaid Fraud Control Unit is led by Director Amy Held and Assistant Deputy Attorney General Paul J. Mahoney. The Division of Criminal Justice is led by Chief Deputy Attorney General Jason Brown.

    Print       Email