Three individuals have been indicted in a Medicaid Prescription Fraud Ring multi-state scheme that exploited Medicaid and targeted pharmacies throughout the Northeastern United States.

Federal prosecutors have charged Ciera Washington, 35, and Raven White, 35, both of the Bronx, New York, along with Bryan Otero, 36, of Wood-Ridge, New Jersey, with healthcare fraud, conspiracy to commit healthcare fraud, and aggravated identity theft.

According to the indictment, between April 2023 and October 2024, White and Otero supplied Washington with personal information—including names, birthdates, and Medicaid ID numbers—of various individuals. Washington allegedly used this data to submit fraudulent prescriptions to pharmacies across multiple states, including within the Northern District of New York.

The Medicaid prescription fraud ring scheme involved dispatching rideshare drivers to collect the medications, which were largely paid for by Medicaid. Washington then directed the drugs to Otero or other buyers, who paid her directly. Authorities say the operation abused Medicaid on multiple levels: identity theft, fraudulent billing, and illegal drug resale.

Federal officials emphasized the seriousness of the charges:

• Acting U.S. Attorney John Sarcone III called it “an abuse of the system across several states.”
• FBI Special Agent Craig Tremaroli noted the scheme compromised both personal data and healthcare resources.
• HHS-OIG Special Agent Naomi Gruchacz described the fraud as “multi-layered,” involving false claims for both medications and transportation.
• NY State Comptroller Thomas DiNapoli condemned the defendants for “preying on vulnerable New Yorkers.”

If convicted, the defendants face up to 20 years in prison for healthcare fraud and conspiracy, plus a mandatory two-year sentence for aggravated identity theft.

The case is being investigated by the FBI, HHS-OIG, and the New York State Comptroller’s Office. Assistant U.S. Attorney Jonathan S. Reiner is prosecuting.