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Saturday, May 16, 2026

Home Healthcare Agencies Settle Fraud Claims for $5.4 Million and Agree to Pay Wages and Benefits to Underpaid Aides - Department of Justice

All American Homecare Agency and Crown of Life NY Obtained Medicaid Funds by Claiming They Paid the Required Minimum Wages and Benefits When They Had Not Done So

Breon Peace, United States Attorney for the Eastern District of New York, and Letitia James, New York State Attorney General, announced today a pair of settlement agreements with two Brooklyn-based licensed home care services agencies (LHCSA), All American Homecare Agency (All American) and Crown of Life Care NY LLC (Crown of Life). The settlement agreements address allegations that All American and Crown of Life violated the federal False Claims Act and New York State’s False Claims Act in claiming that they paid their home care aides the minimum wages required under New York State law. The agencies received millions of dollars in funding from Medicaid, which is funded in part by the federal government, and much of that money was meant to pay the wages and benefits of their aides.

“It is outrageous to cheat home health aides of their hard earned benefits guaranteed under New York law and the Medicaid program,” stated United States Attorney Breon Peace. “These settlements reflect this Office’s firm commitment to preventing fraud in government programs and protecting home health aides—who perform physically and emotionally taxing work in caring for some of the members of our community most in need.”

Mr. Peace thanked the Medicaid Fraud Control Unit of the Office of the New York State Attorney General for its...



Read Full Story: https://www.justice.gov/usao-edny/pr/home-healthcare-agencies-settle-fraud-cl...