UNTHINKABLE $68M Medicaid Scam–NOT in Minnesota!

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Taxpayers lost over $68 million to a brazen Medicaid fraud scheme in Brooklyn adult day cares, with two key recruiters now pleading guilty after bribing vulnerable seniors for ghost services.

Story Snapshot

Manal Wasef and Elaine Antao, Brooklyn residents, pleaded guilty January 15, 2026, to defrauding Medicaid of $68 million through kickbacks and fake billings.
Scheme ran from October 2017 to July 2024, targeting elderly and disabled via unprovided social adult day care and home health services.
Seven total guilty pleas now, with $1 million forfeiture agreed; sentencing pending up to 10 years prison each.
Fraud drained taxpayer funds meant for real care, eroding trust in programs for America’s vulnerable families.

Fraud Scheme Details

Manal Wasef and Elaine Antao, both 46-year-old Brooklyn residents, pleaded guilty in federal court to conspiring to defraud Medicaid. They operated through Happy Family Social Adult Day Care Center Inc., Family Social Adult Day Care Center Inc., and Responsible Care Staffing Inc. The duo referred Medicaid recipients for social adult day care (SADC) and Consumer Directed Personal Assistance Program (CDPAP) services that were never provided. Recruiters paid cash kickbacks to recipients and other recruiters to secure enrollments in Managed Long-Term Care (MLTC) plans. This hierarchical scheme funneled bribes from operators down to patients, exploiting high reimbursement rates for elderly and disabled beneficiaries.

Two Brooklyn residents pleaded guilty to a conspiracy that stole $68 million from Medicaid.

The scheme involved bribes, fake services, and money laundering — with more arrests expected as the case unfolds. pic.twitter.com/siHMxfrEHr

— NLDR (Noldor) Media (@NLDRMedia) January 16, 2026

Timeline of the Crime and Prosecutions

The fraud spanned October 2017 to July 2024. Defendants billed MLTC plans for medically unnecessary or nonexistent services, including cases where recipients were abroad during claimed service dates. Marketers posed as family members during evaluations and impersonated caregivers. Funds laundered through shell business entities via checks. Prior to 2026, five others pleaded guilty: operators Zakia Khan and Amran Hashmi, plus recruiters Joseph Helmy, Amal Ismail, and Seema Memon. Wasef and Antao’s January 15, 2026, pleas mark the sixth and seventh in U.S. v. Khan (Case 1:24-cr-00409-NCM). Indictment filed pre-2026, with superseding documents in March 2025.

Prosecutorial Pushback and Taxpayer Impact

U.S. Attorney Joseph Nocella Jr. and Assistant Attorney General Duva led the Eastern District of New York prosecution, backed by HHS-OIG. Duva stated defendants bribed patients with laundered cash and billed over $68 million for unprovided services. Wasef and Antao agreed to forfeit about $500,000 each, recovering a fraction of losses. Taxpayers footed the bill amid ongoing fiscal strains from past overspending. Brooklyn’s immigrant and aging communities suffered most, as bribed recipients received no real care, denying services to those truly in need and undermining family support systems.

Short-term, sentencing will deter similar schemes; long-term, expect stricter audits on adult day cares and MLTC billing. This case signals DOJ commitment to rooting out fraud, protecting funds for legitimate conservative priorities like strong families and limited government waste. Broader patterns link to networks including Malik Nadeem Abid and others, highlighting systemic vulnerabilities in New York’s Medicaid setup.