CAPITAL REGION, NY (WRGB) — The Department of Justice and the FBI announced the results of a nationwide health care fraud crackdown, resulting in over 400 arrests across the country.
The initiative is the 2026 National Health Care Fraud Crackdown.
The arrests included 90 doctors and other licensed medical professionals. These arrests were of individuals who allegedly participated in health care fraud and opioid abuse schemes.
Some of these schemes are happening right here in the Albany area.
“These vital government programs are designed to help people access the care they need,” said FBI Albany Special Agent in Charge Craig Tremaroli. “They are not designed so crooked criminals can line their own pockets.”
In the Capital Region, Joseph Carl, 55, of Clifton Park, and Randolph “Randy” Ekstrom, 48, of Canajoharie managed Carls Cabs out of Clifton Park.
They’ve been charged with conspiracy to commit health care fraud, wire fraud, and conspiracy to pay health care kickbacks in connection with Medicaid transportation services. Th
“[The] defendants were charged with paying Medicaid recipients cash and other things of value in exchange for using Carl’s Cab to transport them to medical appointments, including methadone treatment facilities,” said John Sarcone III, U.S. Attorney Northern District of New York.
The two men are believed to have fraudulently obtained $4,296,000 in Medicaid reimbursements paid to Carl’s Cab between January 2020 and March 2025. Carl and Ekstrom were arraigned Monday in Albany and were released pending trial scheduled for a date to be determined before a United States District Judge.
Meanwhile, three individuals are facing charges for fraudulently obtaining medicaid reimbursements by overbilling services and more.
It stems from the fraud scheme with Latham Taxi Incorporated, conducting a similar operation.
Muhammad Zishan, a/k/a “Sean,” a/k/a “Shaun,” a/k/a “Shawn, 48, of Albany County, Madiha Javed, “Maddie,” 34, of Rensselaer County, and Ghazali Shaikh, 20, of Warren County, with conspiracy to commit health care fraud and wire fraud and conspiracy to pay health care kickbacks in connection with Medicaid transportation services.
The defendants operated and were associated with Latham Taxi Inc., a Medicaid-enrolled transportation provider from January 1, 2020, through February 28, 2025. They stole $600,00 in the Medicaid fraud.
The defendants were arraigned on Monday in Albany. Zishan was detained pending trial, Javed was detained pending a detention hearing scheduled for June 24, 2026, and Ghazali was released on conditions pending trial. The trial will be held before Senior United States District Judge Frederick J. Scullin.
“These individuals are very creative. One of them owns a motel and houses junkies for free, and that’s how they get their customers. That’s how they get their, I guess, their people to help them with this conspiracy,” added Sarcone. “We intend to go after all assets and then asset for the trick claim as well.”
Medicaid is a federal and state health care program that reimburses providers for medically necessary services, including non-emergency transportation to medical appointments.
“The transportation program ensures that individuals without reliable means of travel, people with chronic conditions, seniors, individuals undergoing methadone treatment, and families facing financial hardship can attend medical appointments safely and consistently,” said Naomi D. Gruchacz, Special Agent in Charge of the U.S. Department of Health and Human Services, Office of Inspector General (HHS-OIG).
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“Because healthcare fraud is not a victimless crime,” said Tremaroli. “It targets our most vulnerable population demographic. It costs our country hundreds of billions of dollars each year, which drives up the cost of healthcare for every American.”
Also part of the crackdown, several parties entered civil settlement agreements in the Northern District of New York.
Douglas C. Cline, M.D., 67, of Saratoga Springs, and nurse practitioner Laurie McKenna, 64, of Bolton Landing, were doing business as Chronic Pain Management, formerly located in Queensbury.
They reached a civil settlement to pay $500,000 to resolve allegations that they prescribed high-dose opioids and other controlled substances to patients without adequate medical oversight, tied continued access to prescriptions to recurring cash payments, and that Dr. Cline fraudulently transferred assets to avoid payment of a potential judgment.
Aptihealth Inc. and Aptihealth Medical, PLLC (collectively, “Aptihealth”), a telehealth behavioral health provider located in Clifton Park, also reached a civil settlement to pay $300,000 to the United States and New York State to resolve allegations that the company billed Medicare and Medicaid for services that were not rendered or not supported by adequate documentation, improperly billed administrative tasks as reimbursable medical services, provided gift cards to induce recipients to receive services, and failed to maintain an effective compliance program as required by New York law.
Officials are asking anyone who believes they have been a victim of a fraud scheme or knows information to contact them.
