Bloomberg Law
Dec. 2, 2022, 6:10 PM

Brooklyn Facility Stops Bid to Reinstate Medicaid Fraud Claims

Daniel Seiden
Daniel Seiden

Three whistleblowers failed to show that their False Claims Act suit accusing a Brooklyn-based adult day healthcare provider defrauded Medicaid should be revived.

Former employees Orlando Lee, Melville Luckie, and Luiz Gonzalez asserted that Northern Manor Adult Day Care Health Program violated the FCA by billing Medicaid despite failing to comply with an anti-discrimination statute. They said non-Russian beneficiaries received sub-standard care.

But the suit was properly dismissed because the whistleblowers didn’t show Northern Manor’s conduct was material to Medicaid’s payment decisions, as required by the FCA, the US Court of Appeals for the Second Circuit said in a nonprecedential ...