A husband and wife from New Windsor are facing serious felony charges after investigators say they stole more than $2.9 million from New York’s Medicaid program through a years-long fraudulent billing scheme.
On October 30, Rohail Raja and Sharma Alam, both 45, were arrested and charged with Grand Larceny in the First Degree, according to a joint announcement from State Comptroller Thomas P. DiNapoli and Orange County District Attorney David M. Hoovler. Both defendants are accused of submitting false Medicaid transportation claims through companies they owned and operated.
The complaint alleges that between February 2020 and August 2024, Raja and Alam submitted thousands of fake transportation claims for trips that either never happened or were falsely billed as individual rides, when in fact multiple Medicaid recipients were transported at once. State auditors found that more than $2 million was paid for appointments that never occurred, and another $895,000 was collected through duplicate billing.
“This is the largest Medicaid fraud scheme ever prosecuted by the Orange County District Attorney’s Office,” Hoovler said. “These investigations ensure that we hold the people taking advantage of public funding accountable.”
The pair was arraigned and remanded to the Orange County Jail, with bail set at $1 million cash or $5 million partially secured bond.
Investigators executed a search warrant at the couple’s home in New Windsor as part of the joint probe involving the State Comptroller’s Office, Orange County DA’s Office, Sheriff’s Office, White Collar Crime Task Force, and the State Medicaid Inspector General.
“These defendants allegedly systematically schemed to steal nearly 3 million dollars in much needed funds for the health care of deserving New Yorkers,” said DiNapoli. “Thanks to my partnership with District Attorney Hoovler, they are now being held accountable.”
The case is being prosecuted by Assistant District Attorney Amanda Bettinelli and Chief Assistant District Attorney Christopher Borek. The defendants are scheduled to appear again in New Windsor Justice Court on November 5.
Anyone with information is urged to contact the Orange County District Attorney’s Office. Tips about fraud involving public funds can also be reported to the State Comptroller’s fraud hotline at 1-888-672-4555 or [email protected].
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