Letitia James hammered after NY Medicaid fraud unit funding frozen over ineffective enforcement

This material may not be published, broadcast, rewritten, or redistributed. ©2026 FOX News Network, LLC. All rights reserved. Quotes displayed in real-time or delayed by at least 15 minutes. Market data provided by Factset. Powered and implemented by FactSet Digital Solutions. Legal Statement. Mutual Fund and ETF data provided by LSEG. Lawmakers on a House Energy and Commerce subcommittee question Medicaid officials from California, Ohio, Minnesota and New York regarding accusations of widespread fraud and inadequate oversight. New York Attorney General Letitia James is facing renewed criticism from Republicans after the Trump administration suspended federal funding for the state's Medicaid Fraud Control Unit (MFCU), citing years of poor criminal enforcement performance and leadership decisions that federal officials say left fraud investigations lagging. The federal action gives Republicans a new line of attack against James as she campaigns for re-election. Republican challenger Saritha Komatireddy has made the state's struggling Medicaid Fraud Control Unit a key issue in the race, arguing James failed to aggressively prosecute fraud. Federal watchdogs' findings now lend new wei