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New Jersey government benefits fraud cases

Federal fraud prosecutions announced in New Jersey, where to report fraud against public programs, and what New Jersey and federal law pay whistleblowers.

DOJ announcements
57
Since January 20, 2025
Sentencings
20
Civil settlement 13 · Pleaded guilty 12
Largest amount named
$172M
restitution · 2025

Fraud by program in New Jersey

ProgramAnnouncementsMore
PPP/EIDL23New Jersey PPP/EIDL cases
Medicare17New Jersey Medicare cases
Medicaid7All Medicaid cases
Social Security5All Social Security cases
Unemployment5All Unemployment cases
Other federal program5
TRICARE4All TRICARE cases
SNAP1All SNAP cases

Where to report fraud in New Jersey

Type of fraudReport to
Medicaid provider fraudMedicaid Fraud Control Unit (MFCU) · NJ Office of the Attorney General, Office of the Insurance Fraud Prosecutor (Division of Criminal Justice) · 609-292-1272
SNAP, child care assistance, cash assistanceNJ DHS Division of Family Development: Report Suspected Fraud (SNAP, WorkFirst NJ)
Unemployment benefitsNJ Department of Labor & Workforce Development: Report Unemployment Fraud (609-376-5945, option 4)
Medicare and other HHS programsHHS-OIG · 1-800-HHS-TIPS
Any WHIP-covered federal program, if you want a rewardAmerica.gov/fraud (how to submit)

Whistleblower rewards in New Jersey

ProgramWhat it paysLaw
New Jersey False Claims Act
Covers all state funds
15–25% if the Attorney General proceeds; 25–30% if not. If the AG's case rests primarily on publicly disclosed information, the court awards 'such sums as it considers appropriate' (no percentage set). The AG separately takes a fixed 10% for the False Claims Prosecution Fund.N.J.S.A. 2A:32C-1 to 2A:32C-18; relator share at N.J.S.A. 2A:32C-7
Insurance Fraud Detection Reward Program (Office of the Insurance Fraud Prosecutor)OIFP may pay a reward when a tip leads to the arrest, prosecution and conviction of a person or entity for health care claims fraud, insurance fraud, or another crime involving an insurance transaction. The reward is capped at the lesser of 5% of the value of the fraud or $25,000. The tip must start a new investigation, the notarized application must be filed within 30 days of the first report, and payment comes only after all direct appeals of the conviction are exhausted. Participants in the offense, government employees acting in their official duties, and insurer employees are ineligible.N.J.A.C. 13:88-3 (authority N.J.S.A. 2C:21-4.7)
Federal WHIP$10,000–$30,000 per tip that leads to criminal chargesDOJ terms
Federal False Claims Act15–25% of the recovery if the government intervenes; 25–30% if not31 U.S.C. § 3730(d)

P.L.2023, c.73 (approved 6/30/2023) amended the NJFCA to align with the federal FCA. The share percentages in 2A:32C-7 did not change; subsection c was clarified so the AG's fixed 10% comes out of the State's share. OIG approved the act (9/7/23). The output URL is the 2023 pamphlet law containing the current text of 2A:32C-7; the NJ Legislature has no stable per-section statute URL. The OIFP reward rules PDF is a scanned 2004 adoption notice (rules effective 7/6/2004).

Estimate federal awards for your case with the calculator, or compare programs in WHIP vs the False Claims Act.

Latest announcements

DateAnnouncementProgramStageAmount
2026-10-08Massachusetts Doctor Sentenced to 36 Months in Prison for Participation in Multimillion-Dollar Medicare Fraud Scheme and for Violating the Federal Anti-Kickback StatuteMedicareTRICARESentenced$27M
2026-09-21Monmouth County Man Sentenced to a Year and a Day in Prison for Defrauding Social Security AdministrationSocial SecuritySentenced$586K
2026-08-20Real Estate Investor Admits Mortgage Fraud, Covid-19 Relief Program Fraud SchemesPPP/EIDLPleaded guilty$1.8M
2026-08-13Bergen County Man Sentenced to 24 Months' Imprisonment for Covid-19 Relief Program FraudPPP/EIDLSentenced$670K
2026-07-29Fraud Division Resolves Fraud Investigation of Eye Care Group Under New Corporate Enforcement Policy; Health Care Executive Charged for Alleged Fraud and KickbacksMedicareCharged$1M
2026-07-29Founder And Former CEO of New Jersey Based Eye Care Group Charged with Health Care Fraud Conspiracy and Paying Illegal KickbacksMedicareCharged—
2026-07-21Fashion House Enters Settlement for Receipt of Improper Paycheck Protection Program LoanPPP/EIDLCivil settlement$2M
2026-07-06Essex County Businessman Sentenced to Prison for $2 Million Food Stamp Fraud SchemeSNAPSentenced$2M
2026-04-20Former Pharmacy President Sentenced to 24 Months in Prison for Health Care Fraud and Kickback Scheme Involving Compounded MedicationsMedicareTRICARESentenced—
2026-04-17New Jersey Pharmacy Owner Sentenced To 24 Months In Prison For Health Care Fraud SchemeMedicareSentenced—
2026-04-17Middlesex County Woman Sentenced to 20 Months for Defrauding Multiple COVID-19 Relief ProgramsPPP/EIDLUnemploymentSentenced$194K
2026-04-08New Jersey Tax Preparer Sentenced to 144 Months in Prison for $170 Million COVID-19 Tax Credit SchemeOther federal programSentenced$170M
2026-02-06Postal Employee Indicted for Unemployment FraudUnemploymentCharged—
2026-01-20Manufacturing Company Settles Paycheck Protection Program Loan Fraud Allegations for $2.9 MillionPPP/EIDLCivil settlement$60K
2026-01-20Four Hudson County Pharmacies Pay $4.3 Million To Resolve False Claims Act Allegations of Billing for Drugs Not DispensedMedicaidMedicareCivil settlement$4.3M
2026-01-07New Jersey Doctor Charged in 58-Count Indictment with Distributing Opioids in Exchange for Sexual Favors and Defrauding New Jersey MedicaidMedicaidCharged—
2026-01-07Key Bank Agrees to Pay $7.7 Million to Resolve Branch Manager's FraudPPP/EIDLCivil settlement$7.7M
2025-12-19New Jersey Business Owner Sentenced to 87 Months for $172 Million Fraud and Money Laundering SchemeMedicareSentenced$172M
2025-12-18Florida Man Pleads Guilty to Health Care Fraud and Kickback ConspiracyMedicarePleaded guilty—
2025-12-18Connecticut Man Sentenced to 30 Months' Imprisonment for Role in $7.8 Million Health Care Fraud and Kickback SchemeMedicareTRICARESentenced—
2025-12-15Morris County Company Settles Matter Alleging it Received Improper Paycheck Protection Program LoanPPP/EIDLCivil settlement—
2025-11-24Title Company Owner and Real Estate Investor Admit Mortgage Fraud, COVID-19 Relief Program Fraud SchemesPPP/EIDLPleaded guilty$1.8M
2025-11-24New Jersey Pharmacy Owner Pleads Guilty to Health Care Fraud Scheme Involving Billing Medicare for Undispensed MedicationMedicarePleaded guilty—
2025-11-24Group of Pennsylvania-Based Car Companies Settle Matter Alleging Receipt of Improper CARES Act LoansPPP/EIDLCivil settlement$1.4M
2025-11-19Twelve Individuals Charged in $11 Million Stolen Treasury Check ConspiracyOther federal programCharged—

Source: U.S. Department of Justice press releases, classified by WHIP Reward. Each row is one press release; the same case can appear at several stages, so amounts should not be added. Charged cases are allegations. Search all 57 in the database.

Frequently asked questions

How do I report Medicaid fraud in New Jersey?

Report provider fraud to the Medicaid Fraud Control Unit (MFCU) (NJ Office of the Attorney General, Office of the Insurance Fraud Prosecutor (Division of Criminal Justice)), or to the HHS Office of Inspector General at 1-800-HHS-TIPS. To be eligible for a federal WHIP award, also submit the tip in writing at America.gov/fraud.

Does New Jersey pay whistleblowers?

Yes. Under the New Jersey False Claims Act (N.J.S.A. 2A:32C-1 to 2A:32C-18; relator share at N.J.S.A. 2A:32C-7), a whistleblower who files a case receives 15–25% if the Attorney General proceeds; 25–30% if not. If the AG's case rests primarily on publicly disclosed information, the court awards 'such sums as it considers appropriate' (no percentage set). The AG separately takes a fixed 10% for the False Claims Prosecution Fund.. New Jersey also has: Insurance Fraud Detection Reward Program (Office of the Insurance Fraud Prosecutor) (OIFP may pay a reward when a tip leads to the arrest, prosecution and conviction of a person or entity for health care claims fraud, insurance fraud, or another crime involving an insurance transaction. The reward is capped at the lesser of 5% of the value of the fraud or $25,000. The tip must start a new investigation, the notarized application must be filed within 30 days of the first report, and payment comes only after all direct appeals of the conviction are exhausted. Participants in the offense, government employees acting in their official duties, and insurer employees are ineligible.). Federal programs (WHIP and the federal False Claims Act) apply as well.

How many fraud cases has the DOJ announced in New Jersey?

57 announcements since January 20, 2025 in our database, counting each press release separately (a case can appear at charge, plea and sentencing). 20 of them announced a sentence.

Sources

  1. U.S. Department of Justice: Whistleblower Rewards Program
  2. njoag.gov/about/divisions-and-offices/office-of-the-insurance-fraud-prosecutor-home/medicaid-fraud-control-unit
  3. njoag.gov/about/divisions-and-offices/office-of-the-insurance-fraud-prosecutor-home/contact-oifp
  4. njoag.gov/about/divisions-and-offices/office-of-the-insurance-fraud-prosecutor-home/library
  5. nj.gov/oag/insurancefraud/pdfs/reward_program_rulesfinal.pdf
  6. pub.njleg.gov/bills/2022/PL23/73_.HTM
  7. pub.njleg.gov/bills/2006/PL07/265_.HTM
  8. oig.hhs.gov/fraud/state-false-claims-act-reviews
  9. oig.hhs.gov/fraud/medicaid-fraud-control-units-mfcu/files/contact-directors.pdf
  10. naag.org/about-naag/namfcu/about-the-medicaid-fraud-control-units
  11. nj.gov/humanservices/dfd/resources/fraud/report.shtml
  12. nj.gov/labor/myunemployment/help/contact-us/reportfraud
  13. U.S. Department of Justice press releases (justice.gov/news)