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BC Cab Owner Arrested for Stealing over $100,000 from Medicaid

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BINGHAMTON, N.Y. -

After a lengthy investigation by New York State's Medicaid Fraud Unit, Attorney General Eric Schneiderman announced, Friday, owner and operator of Broome County Cab Inc., Garabed Kachadourian, was arrested for stealing over $100,000 in Medicaid payments.

BC Cab, which services Medicaid beneficiaries to and from medical appointments, is accused of operating without valid Workers' Compensation Insurance and taxi business license while receiving payments from Medicaid. 

According to A.G. Schneiderman, from October 12, 2012, to May 2, 2014, Kachadourian knowingly operated BC Cab un-insured, obtaining over $95,000 in Medicaid payments. During the period May 13, 2015, to June 29, 2015, he operated the company without possessing a valid Broome County taxi business license, a violation of Broome County transportation regulations, securing roughly $9,500 in payments.

In addition to not having proper insurance, Kachadourian was also charged with falsifying claims that his company was in compliance with all federal and state laws. Schneiderman said Kachadourian submitted documents to Medicaid Management and Broome County that BC Cab Inc. had met all required regulations. 

Garabed Kachadorian has been charged with;

  • Grand Larceny in the Second Degree
  • Grand Larceny in the Third Degree
  • Grand Larceny in the Fourth Degree
  • Offering a False Instrument for Filing in the First Degree
  • Effect of Failure to Secure Compensation, in violation of Workers’ Compensation Law.

“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,” said Attorney General Schneiderman. “My office will continue to enforce these vital laws to protect New York’s workers and taxpayers.”

Kachadorian was arraigned by Hon. Carol A. Cocchiola, Presiding Binghamton City Court Judge.

Stay with Fox 40, your source for local news, for more information on this developing story.