BINGHAMTON, N.Y. — The owner and operator of a Broome County taxi-cab company is accused of stealing more than $100,000 in Medicaid payments.
Garabed Kachadourian had “knowingly” operated a transportation company without workers’-compensation insurance or a valid taxi-business license, the office of New York State Attorney General Eric Schneiderman said in a news release.
Kachadourian also falsely filed documents saying that the company “was in compliance.”
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He owned and operated BC Cab, Inc., a transportation company operating in Broome County, which received payments from the Medicaid program for transporting Medicaid beneficiaries to medical appointments, Schneiderman’s office said.
Kachadourian is charged with one felony count of grand larceny in the second degree; a felony count of grand larceny in the third degree; a felony count of grand larceny in the fourth degree; six felony counts of offering a false instrument for filing in the first degree; and a felony count of effect of failure to secure compensation, in violation of workers’-compensation law.
He’s been arraigned on the charges in Binghamton City Court, according to the news release.
“Business owners cannot shirk their obligations in order to line their pockets, but that’s exactly what this defendant did, shamelessly stealing government benefits from taxpayers while putting employees at risk,” Schneiderman said in the release.
“This business owner’s brazen scheme of subterfuge and fraudulent filings enabled him to pocket six-figures worth of illicitly obtained government benefits while shortchanging his own employees out of critical workers’-compensation coverage,” New York State Inspector General Catherine Leahy Scott said in Schneiderman’s release.
Case background
Kachadourian is alleged to have knowingly operated BC Cab, Inc. without required workers’-compensation insurance during the period between Oct. 12, 2012 and May 2, 2014, Schneiderman’s office said. Prosecutors allege that the company obtained more than $95,000 in Medicaid payments during the time when the company “operated unlawfully.”
He also is alleged to have “knowingly” operated the company without possessing a valid Broome County taxi-business license during the period from May 13, 2015 to June 29, 2015, a violation of Broome County transportation regulations.
Prosecutors allege the company obtained more than $7,000 in Medicaid payments during that time “when the company was operating unlawfully.”
Prosecutors also allege that during the period Mar 2, 2014, to May 13, 2014, the defendant knowingly operated the company without a valid Broome County taxi-business license and obtained $2,500 in Medicaid payments.
The felony complaint alleges that Kachadourian violated New York workers’-compensation law by “knowingly” operating a business with more than five employees without workers’-compensation insurance.
New York requires companies to have workers’-compensation insurance so that insurance coverage will compensate employees who are injured on the job, suffer lost wages, and need medical care. Prior to the implementation of workers’-compensation laws, injured employees had to hire an attorney and sue to prove that an employer caused their accident and injury in order to obtain any compensation for a workplace injury, Schneiderman’s office said.
The felony complaint also alleges that, in addition to not having the required workers’-compensation insurance, Kachadourian submitted documents to eMedNY/ Medicaid management information system; the New York State Workers’-Compensation Board; and the Broome County Government Security Division, falsely claiming that BC Cab Inc. “was in compliance with all federal and state laws and regulations,” Schneiderman’s office said.
Contact Reinhardt at ereinhardt@cnybj.com
