The owner of an Ulster County medical transportation company pleaded guilty to second-degree grand larceny and repaid $227,000 in a Medicaid fraud case, state officials announced.
Mohammad Khan, 69, who owns Atlas Limo, entered the plea before Ulster County Court Judge Bryan Rounds, according to a news release from state Comptroller Thomas DiNapoli and District Attorney Emmanuel Nneji.
Investigators found that Khan submitted inflated bills and claims for trips that never occurred from May 2024 through January 2025. They also found that he provided unauthorized group rides while billing Medicaid for each passenger separately and paid kickbacks to patients for using his company.
Medicaid covers transportation to eligible medical appointments. Group trips require advance authorization, and providers may bill mileage only once for an authorized group ride. Billing each passenger as a separate trip inflated the amount paid, officials said.
Khan was arrested in June 2025 with his son, Muhammad Khan, the owner of MAK Limo. The father’s guilty plea is a separate development from the son’s completed prosecution.
The son pleaded guilty to stealing more than $1 million from Medicaid and was sentenced in September 2026 to three to nine years in state prison. He was also ordered to pay full restitution, according to the comptroller’s office.
DiNapoli said fraud diverts public money intended to provide health care. His office reported that its Medicaid fraud investigations over the past 18 months had resulted in 58 arrests and orders to recover nearly $50 million.
The comptroller’s office accepts reports of suspected misuse of taxpayer funds through its investigations office and fraud hotline at 1-888-672-4555. Complaints can also be mailed to the Office of the State Comptroller, Division of Investigations, 110 State St., eighth floor, Albany.
Sentencing for the Atlas Limo owner is scheduled for Jan. 4.
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