Brooklyn Home Health Agencies Settle Fraud for $9.75M, Agree to Pay $7.5M in Wages

Breon Peace, United States Attorney for the Eastern District of New York, and Letitia James, New York State Attorney General, announced settlement agreements with Brooklyn-based licensed home care service agencies (LHCSAs) Edison Home Health Care of New York LLC (Edison) and Preferred Home Health Care of New York LLC (Preferred) today. The settlement agreements address allegations that Edison and Preferred, which were related companies, violated the federal False Claims Act and New York State’s False Claims Act in claiming that they paid their home care aides the minimum wages required under New York State law. The agencies received payments from Medicaid, which is funded in part by the federal government, and much of that money was meant to pay the wages and benefits of their aides.

Read more at Justice.