Seeking Damages – Politico New York

Nassau University Medical Center is gearing up to sue the state, arguing the government illegally withheld $1.06 billion in Medicaid matching funds from the Long Island hospital over the last 23 years.

In a notice of claim sent Tuesday to the attorney general's office, NUMC's attorneys allege that "the State orchestrated a ruse to fool the federal government." In one instance, the state asked NUMC to transfer $50.1 million to the county treasurer, then directed the treasurer to transfer the money back to the hospital. The state then passed off the circular payment as its own, the filing alleges.

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