To: Eric Holder, US Attorney General,
Darrell Issa, Chair House Oversight and Government Reform; Lamar Smith, Chair House Judiciary; Patrick J. Leahy, Chair Sen. Judiciary; Charles E. Grassley, Sen. Judiciary; Paul Ryan, Chair House Budget; Harold Rogers, Chair House Appropriations; Kent Conrad, Chair Sen. Budget; Jeff Sessions, Sen. Budget; Daniel K. Inouye,Chair Sen. Appropriations; Thad Cochran, Sen. Appropriations; Tom Harkin, Chair Sen. Health; Michael B. Enzi, Sen. Health.; and Andrew Cuomo, NY Governor.
Re: Multi-billion dollar fraud: Special Prosecutor required for the Major Criminal Fraud by NY State officials and others taking billions of dollars a year in federal Medicaid funds. Eric Holder and the NY Offices of the US Attorney have failed to prosecute and obtain refunds. Holder has an 18 year history of covering up for Andrew Cuomo when billions of dollars are missing. Congressional oversight of the Justice Department is needed. Congress must end misappropriations and deduct past fraudulently obtained funds from present appropriations. Block grants would shift policing to the State. Andrew Cuomo must adjust his 2011-2012 budget for that refund and remove such anticipated funds from 2011-2012 budget ($3 billion dollars added to budget deficit)
Dear Federal Officials and Governor Cuomo:
The following newspaper reports show massive, in excess of $1 billion dollars, fraudulent criminal taking of federal funds by NY State
1. "Daily rate for Medicaid patients tops $5,000 in nine institutions in NY and was described as a "cash cow for the State." "Introne, Gov. Andrew Cuomo’s liaison, said state officials were working with the U.S. Centers for Medicare and Medicaid Services “to analyze and resolve the matter."
2. It was reported in Wall Street Journal that, "The state spends $700 million a year to house about 1,400 disabled people in the facilities. But it bills Medicaid more than three times that amount. By taking advantage of federal matching funds, the state pockets approximately $1 billion extra every year—and uses it to subsidize other areas of the budget."
These are criminal fraud by NYS employees and others to obtain federal Medicaid funds. The federal criminal laws violated are copied below. These criminal frauds have been a continuing problem in NY State as this blog had earlier reported:
1. Was Cuomo MIA With A $1.2 Billion Per Year Fraud? http://cuomotarp.blogspot.com/2010/09/was-cuomo-mia-with-12-billion-per-year.html
2. An additional $400 million dollars in NY Medicaid fraud and Cuomo MIA http://cuomotarp.blogspot.com/2010/10/andrew-cuomos-corruption-allowed-400.html
Eric Holder* has known since 1993 of New York State's complicity in defrauding the Federal government since Holder was a US attorney for D.C. and signatory to the "Denoncourt" consent order where New York State paid the U.S. $26.97 Million To Settle federal funding fraud.
Holder was covering up for Cuomo as Deputy Attorney General for the $17 billion and then $59 billion dollars missing at HUD under Cuomo and his refusal to prosecute despite the recommendation of the the Inspector General and also, the Farkas scandal and the GAO reported HUD mortgage flipping frauds .
Eric Holder must appoint a Special Prosecutor because of 1. his continuing conflicts; 2. his failure to act on this continuing crime for 18 years involving the highest levels of NY State government; and 3. his long history of failing to prosecute crimes involving Andrew Cuomo. The NY offices of the US Attorneys have local conflicts which require a Special Prosecutor without ties to local interests and political figures.
Darrell Issa, Lamar Smith, Paul Ryan, Harold Rogers and their committees in the House and the Senators above named and their committees are asked to look into these yearly thefts and frauds of more than a billion dollars a year. Medicaid block grants would shift this corruption directly to NY State and eliminate the over twenty years of fraud by NY State in the Medicaid program. Why was Eric Holder unable to prosecute and obtain refunds, even with a prior "Denoncourt consent decree" signed by Holder at Justice Department years ago?
Andrew Cuomo must make a budget deduction of $3 billion dollars for these frauds, as $3 billion dollars less Medicaid funds will be received by NY State and make contingencies for the larger potential $22 billion cost.
*In 1988, Ronald Reagan appointed Holder to serve as a judge of the Superior Court of the District of Columbia. Holder left the bench in 1993 to become US Attorney for the D.C. by Bill Clinton. The Denoncourt action was brought in D.C.. Holder was the US Attorney for D.C. and oversaw the case from 1993 through the settlement order in 1994. In 1997, Clinton nominated Holder to be the Deputy Attorney General.
cc: others, credit rating agencies
P.S. the above links can be accessed directly in the copy of this letter at CuomoTARP.blogspot.com
Federal Title 18 Crimes committed by NY State Employees and others:
§1035. False statements relating to health care matters
Whoever, in any matter involving a health care benefit program, knowingly and willfully— (1)falsifies, conceals, or covers up by any trick, scheme, or device a material fact; or makes any materially false, fictitious, or fraudulent statements or representations, or makes or uses any materially false writing or document knowing the same to contain any materially false, fictitious, or fraudulent statement or entry, in connection with the delivery of or payment for health care benefits, items, or services, shall be fined under this title or imprisoned not more than 5 years, or both.
§1031. Major fraud against the United States
Whoever knowingly executes, or attempts to execute, any scheme or artifice with the intent— to defraud the United States; or to obtain money or property by means of false or fraudulent pretenses, representations, or promises, in any grant, contract, subcontract, subsidy, loan, guarantee, insurance, or other form of Federal assistance, ..., if the value of such grant, contract, subcontract,subsidy,loan, guarantee,insurance,or other form of Federal assistance, or any constituent part thereof, is $1,000,000 or more shall, subject to the applicability of subsection (c) of this section, be fined not more than $1,000,000, or imprisoned not more than 10 years, or both.
§286. Conspiracy to defraud the Government with respect to claims
Whoever enters into any agreement, combination, or conspiracy to defraud the United States, or any department or agency thereof, by obtaining or aiding to obtain the payment or allowance of any false, fictitious or fraudulent claim, shall be fined under this title or imprisoned not more than ten years, or both.
§287. False, fictitious or fraudulent claims
Whoever makes or presents to any person or officer in the civil, military, or naval service of the United States, or to any department or agency thereof, any claim upon or against the United States, or any department or agency thereof, knowing such claim to be false, fictitious, or fraudulent, shall be imprisoned not more than five years and shall be subject to a fine in the amount provided in this title.
§1621. Perjury generally
who having taken an oath before a competent tribunal, officer, or person, in any case in which a law of the United States authorizes an oath to be administered, that he will testify, declare, depose, or certify truly, or that any written testimony, declaration, deposition, or certificate by him subscribed, is true, willfully and contrary to such oath states or subscribes any material matter which he does not believe to be true; or in any declaration, certificate, verification, or statement under penalty of perjury as permitted under section of title 28, United States Code, willfully subscribes as true any material matter which he does not believe to be true; is guilty of perjury and shall, except as otherwise expressly provided by law, be fined under this title or imprisoned not more than five years, or both.
§1622. Subornation of perjury
Whoever procures another to commit any perjury is guilty of subornation of perjury, and shall be fined under this title or imprisoned not more than five years, or both