Federal agents raid Brooklyn adult day cares in Medicaid fraud probe
Federal officials conducted two searches at an adult day care in Brooklyn over allegations of Medicaid fraud, and agents were seen at Happy Adult Day Care Center in Borough Park. Gov. Kathy Hochul described the searches as part of a months-long effort targeting more than 100 providers suspected of fraud or other illegal activity.
AI-assisted synthesis · Based on 4 outlets' reporting · Article text read from 3 of 4 outletsHow it's made
View timeline · 7 entriesWhat happened
Key facts
- The raids were part of a probe into more than 100 sites suspected of Medicaid fraud.
- Officials said the suspected fraud involved money laundering and kickbacks.
The brief
Federal officials conducted two raids at an adult day care in Brooklyn over allegations of Medicaid fraud, while agents from several agencies were seen at Happy Adult Day Care Center in Borough Park. News 12 Brooklyn reported that at least a dozen agents from the FBI, Homeland Security, IRS and the State Inspector General's Office were at the center.
The New York Post reported raids at at least two Brooklyn adult day cares and dated them to Oct. 20. STL.News also reported FBI raids on New York City adult day cares as part of a Medicaid fraud probe. The reports describe the operation at different geographic scales. News 12 Brooklyn focused on two raids at a Brooklyn day care and the agents seen at the Borough Park center.
The New York Post said agents raided at least two Brooklyn centers. South Shore Press reported that federal and state investigators searched social adult day care centers in Queens, Brooklyn, Manhattan and Staten Island on Tuesday. These accounts differ in their stated scope, but do not establish that the searches described are separate operations.
Hochul said the searches formed part of a months-long investigation into more than 100 providers suspected of fraud or other illegal activity in New York's Medicaid program. She described the effort as aimed at combating fraud and abuse.
South Shore Press quoted her saying investigators were targeting providers suspected of conduct including money laundering, kickbacks and improper billing. The allegations remain allegations; News 12 Brooklyn said authorities had not elaborated on the exact nature of the claims related to the Brooklyn raids.
The FBI said an audit found New York's Medicaid program paid about $2.4 billion for social adult day care services from January 2019 through October 2024. That figure concerns program spending over the audit period; the reporting does not identify how much, if any, of that spending investigators allege was fraudulent.
The agency’s audit finding provides financial context for the inquiry, while Hochul’s account identifies the broad categories of conduct under investigation. A separate case on Staten Island has resulted in criminal charges. Richmond County District Attorney Michael E.
McMahon announced that Yangsim Oum and Juyoung Choe, respectively the owner and program director of Staten Island Adult Day Care Center in Mariners Harbor, had been arrested and indicted on more than 400 counts. The charges include health care fraud and falsifying business records.
South Shore Press reported that prosecutors allege the pair billed for seniors they never served; an indictment is an accusation, not a finding of guilt. The Staten Island prosecution is distinct from the Brooklyn searches in the reported accounts.
It shows that the broader scrutiny has also produced a named criminal case, but the available reporting does not say the Brooklyn day care or its staff face charges. Investigators’ allegations concerning the Brooklyn sites therefore should not be conflated with the counts brought against Oum and Choe.
The next documented steps concern the investigation and the Staten Island case: whether authorities announce charges or further details about the Brooklyn allegations, and how the case against Oum and Choe proceeds. The reports provide no court dates or other scheduled deadlines.
Why it matters
- New York Medicaid spending on social adult day care totaled about $2.4 billion from January 2019 through October 2024, according to the FBI’s audit finding; investigators are examining providers over suspected fraud and other illegal activity.
- The alleged mechanisms include improper billing, kickbacks and money laundering, which could expose public Medicaid funds to improper claims if proven.
- Seniors are directly implicated in the Staten Island allegation: prosecutors said Oum and Choe billed for seniors they never served, though the charges have not been adjudicated.
- The inquiry encompasses more than 100 providers, according to Hochul, while the Brooklyn reports identify searches but no charges against the centers or their staff.
What to watch next
- Whether federal or state authorities provide further details or announce charges concerning the Brooklyn adult day care searches.
- How the criminal case against Yangsim Oum and Juyoung Choe proceeds; the reports give no court date.
- Whether investigators or Hochul disclose additional information about the more-than-100-provider inquiry.
How it's being covered
Coverage analysisShow details5 source articles · 4 unique outletsOutlet political mix: Too few rated· 1 Center · 1 Right · 2 unratedWhere the outlets are based: US/Canada 50% · Unknown 50%
How outlets' accounts compare
3 framing differences · 2 uncorroborated claims · 3 information gaps- News 12 Brooklyn described two raids at an adult day care and identified agents at Happy Adult Day Care Center in Borough Park; the New York Post reported raids at at least two Brooklyn adult day cares.
- South Shore Press described searches across Queens, Brooklyn, Manhattan and Staten Island, while the Brooklyn-focused accounts emphasized the Borough Park site and Brooklyn locations.
- Hochul characterized the inquiry as a months-long effort to combat fraud and abuse; the FBI separately described an audit finding about Medicaid spending.
- Hochul said investigators were targeting providers suspected of conduct ranging from money laundering to kickbacks and improper billing.
- The Staten Island prosecutors' case alleges that Oum and Choe billed for seniors they never served.
- The reports do not identify the Brooklyn centers' owners, provide a response from them, or state whether any Brooklyn provider has been charged.
- The reports do not quantify any alleged fraudulent payments or identify the audit's methodology.
- News 12 Brooklyn said authorities had not explained the exact nature of the allegations tied to the Brooklyn searches.
Timeline
Developments from this story's sources, dated background we compiled and fact-checked, and our earlier coverage. Each row says which.- Congress enacted the False Claims Act to address claims against the federal government.Background · compiled and fact-checked by Updat3
- The federal program behind those rules began with Title XIX of the Social Security Act, added by the Social Security Amendments of 1965 and signed by President Lyndon B. Johnson on July 30, 1965.Background · from our historical context
- Congress enacted the Omnibus Budget Reconciliation Act, creating authority for home- and community-based-services waivers.Background · compiled and fact-checked by Updat3
- Congress amended the False Claims Act, strengthening enforcement provisions and expanding whistleblower incentives.Background · compiled and fact-checked by Updat3
- New York created the Office of the Medicaid Inspector General in 2006 to coordinate the state’s efforts to prevent and detect fraud, waste, and abuse in its Medicaid program.Background · from our historical context
- New York enacted its own False Claims Act in 2007, allowing civil actions involving false claims to state and local government programs, including Medicaid.Background · from our historical context
- New York's registration requirement for social adult day care programs took effect.Background · compiled and fact-checked by Updat3
How we got here
New York’s oversight of adult day services tightened in the years before the current investigation. The state’s 2015–16 budget required social adult day care programs to register with the Department of Health, with registration taking effect on April 1, 2016.
That framework distinguished social adult day care from adult day health care, a medical service whose providers may receive Medicaid reimbursement for covered care. The distinction matters because a center’s services and its Medicaid billing are governed by different rules.
Original sources
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