State Wins $13.4M Medicaid Settlement

State Attorney General Eric Schneiderman announced Wednesday that his office has secured a $13.4 million settlement with Downtown New York Hospital to resolve a Medicaid fraud case involving illegal payments the hospital received on claims for unlicensed inpatient drug and alcohol treatment services rendered to patients unlawfully referred there.

Under the settlement, more than $12.6 million will be returned to the Medicaid program, and $800,000 will be returned to the federal Medicare program.