Massive Medicaid Fraud Exploited Vulnerable Citizens

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Two Brooklyn women just admitted to stealing $68 million from American taxpayers through a massive Medicaid fraud scheme that preyed on vulnerable elderly and disabled citizens.

Story Highlights

Manal Wasef and Elaine Antao pleaded guilty to running a seven-year Medicaid fraud operation worth $68 million
The scheme exploited adult day care centers serving elderly and disabled Americans through kickback networks
Defendants agreed to forfeit $1 million while facing up to 10 years in prison for defrauding taxpayer-funded healthcare
This represents the sixth and seventh guilty pleas in a broader conspiracy involving multiple co-conspirators

Massive Fraud Operation Spans Seven Years

Manal Wasef, 46, and Elaine Antao, 46, both of Brooklyn, operated their fraudulent enterprise from October 2017 through July 2024. The defendants systematically exploited Medicaid’s reimbursement system by recruiting beneficiaries to fraudulent adult day care centers in exchange for illegal kickbacks. Their operation involved Happy Family Social Adult Day Care Center Inc., Family Social Adult Day Care Center Inc., and Responsible Care Staffing Inc., which served as vehicles for laundering stolen taxpayer funds.

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The fraud scheme targeted America’s most vulnerable populations—elderly and disabled Medicaid recipients who relied on legitimate care services. Instead of providing promised healthcare, these criminals billed Medicaid for services never rendered while offering improper inducements to attract beneficiaries. This systematic abuse undermines the integrity of programs designed to protect those who cannot protect themselves, representing exactly the kind of government program exploitation that drains resources from truly needy Americans.

Taxpayer Dollars Stolen Through Elaborate Kickback Network

Federal prosecutors revealed the defendants operated an elaborate referral network where they received illegal payments for directing Medicaid beneficiaries to specific facilities. This pay-to-play system corrupted the entire care delivery process, prioritizing profit over patient welfare. The scheme demonstrates how fraudsters exploit gaps in government oversight to systematically steal from programs funded by hardworking American taxpayers who expect their contributions to support legitimate healthcare for vulnerable populations.

The Department of Justice and HHS Office of Inspector General announced the guilty pleas on January 15, 2026, marking significant progress in dismantling this criminal network. Both defendants face maximum sentences of 10 years in federal prison, though specific sentencing dates remain undetermined. Their agreement to collectively forfeit approximately $1 million represents only a fraction of the total stolen funds, highlighting the challenge of recovering taxpayer money once criminals have laundered it through multiple business entities.

Pattern of Healthcare Fraud Requires Stronger Oversight

This case exposes systemic vulnerabilities in Medicaid oversight that allow organized criminal networks to operate for years without detection. The involvement of five additional co-conspirators who previously pleaded guilty suggests this was not an isolated incident but part of a broader pattern of healthcare fraud targeting government-funded programs. Such systematic exploitation demands enhanced verification mechanisms and stronger penalties to deter future criminals from viewing Medicaid as an easy target for theft.

🚨GUILTY OF FRAUD🚨

Two Brooklyn women pleaded guilty today to a massive $68M Medicaid fraud scheme.

Manal Wasef (46) & Elaine Antao (46), conspired to defraud the program by paying kickbacks for fake adult day care & home health services at Brooklyn facilities—billing…

— Breanna Morello (@BreannaMorello) January 15, 2026

The Brooklyn-based operation’s seven-year duration demonstrates how inadequate government oversight enables sustained fraud against taxpayer-funded programs. When criminals can steal $68 million over nearly a decade while providing substandard or nonexistent care to vulnerable Americans, it reveals fundamental failures in program administration that demand immediate reform. Stronger accountability measures and enhanced fraud detection capabilities are essential to protect both taxpayer dollars and the Americans who depend on legitimate healthcare services.