Jonathan Fahey, the former deputy assistant secretary at the Department of Homeland Security, has discussed the recent $90 million Medicaid fraud operation unraveled by the Department of Justice (DOJ) in Minnesota. According to Fahey, this extensive scheme might merely represent the beginning, as more disclosures are expected from those cooperating with the investigation. He also raised concerns about why such programs might have previously been ignored for political motives.
Health and Human Services Secretary Robert F. Kennedy Jr. announced charges against two individuals in Minnesota accused in what has been called the largest autism fraud case in the United States. The DOJ charged Shamso Ahmed Hassan, 55, and Hanaan Mursal Yusuf, 25, with several counts of fraud and related offenses. They are accused of creating a $46.6 million scheme to deceive Minnesota Medicaid’s Early Intensive Developmental and Behavioral Intervention (EIDBI) Program.
“Today’s arrests represent the largest autism fraud bust in American history. This was organized theft that exploited vulnerable children, deceived families, and stole taxpayer dollars,” Kennedy Jr. stated in a press conference.
The enforcement action by the DOJ’s National Fraud Enforcement Division led to the indictment of 15 individuals, targeting more than $90 million in taxpayer funds. Hassan, a shareholder in Smart Therapy Center and Star Autism Center, failed to disclose her ownership to the Minnesota Department of Human Services as required. Yusuf, associated with the Smart Therapy Center, allegedly helped submit false Medicaid reimbursement claims.
The two suspects supposedly offered incentives to families to send children to their centers. They then falsely billed Medicaid for autism services that were either not provided or not eligible for reimbursement. Of the $46.6 million claimed, $21.6 million was paid, and the DOJ seeks restitution for these funds.
Assistant Attorney General Colin McDonald spoke at a press meeting on the DOJ’s efforts to clamp down on fraudulent activities in Minnesota. The indictment states that both defendants redirected substantial funds for personal family use, including purchasing real estate and transferring money overseas to Kenya.
The defendants face several charges with one count of conspiracy to commit healthcare fraud and another for money laundering. Yusuf faces five additional counts of healthcare fraud, while Hassan faces two.
Every fraudulent autism diagnosis drains resources designed for children in need, increasing the difficulties for families with autistic children navigating necessary care and support,” said Kennedy Jr. during the media announcement.