Grant earmarked to mitigate costs for $29.3 million Breckenridge Street combined sewer overflow construction project and project in Schiller Park.
Buffalo Sewer has been awarded over $8.5 million in grants from New York State Governor Kathy Hochul and the Environmental Facilities Corporation (EFC) for Queen City Clean Waters projects to reduce combined sewer flows into area waterways. The $29.3 million Breckenridge project, which broke ground in April 2026, will receive a $6.538 million grant and a sewer and beautification project in Schiller Park and the surrounding area has been awarded $2.056 million.
“Building a better Buffalo means investing in the infrastructure that protects our neighborhoods and keeps our waterways clean,” Mayor Sean Ryan said. “This $8.5 million in state funding will help us reduce sewer overflows while limiting the cost burden on Buffalo residents. I commend the team at the Buffalo Sewer Authority for securing these grants, and I thank Governor said. “My office aggressively investigates Medicaid fraud to safeguard the program, and I thank Schenectady County District Attorney Robert Carney and Superintendent James for their partnership in bringing these individuals to justice.”
James said, “We will not tolerate the actions of those willing to victimize their customers in order to steal millions of taxpayer dollars. As alleged, the individuals in this case took advantage of innocent people that trusted them for a safe ride to their medical appointments. I applaud the vital collaborative work of our members and law enforcement partners at the Comptroller’s Office and Schenectady County District Attorney’s Office focused on the same goal; holding those who break our laws accountable.”
Under the Medicaid program, patients may use transportation services to go to legitimate medical appointments. Providers then bill the Medicaid program. Group rides are not allowed without prior authorization, and approved providers can only bill for mileage once for a group.
In December 2024, after receiving a complaint, DiNapoli’s Division of Investigations launched an investigation into USA Medical Trans port, partnering with the State Police Special Investigations Unit as part of their continuing collaborative efforts to root out Medicaid fraud.
The joint investigation determined that the three companies allegedly defrauded $4.7 million from Medicaid by billing the state program for rides that never took place, phony group rides falsely reported as many individual trips, and inflated mileage. They also are alleged to have paid kickbacks to passengers who aided their scheme.
A forensic analysis of Medicaid claims, covering Jan. 1, 2020, through Dec. 21, 2024, determined that USA Medical Transportation allegedly submitted phony invoices for over $2.9 million for group trips and $340,000 for trips that never happened. NYS Medical Transport allegedly billed Medicaid for over $79,000 for fraudulent group rides and over $4,500 for trips that did not take place. EZ Medical allegedly billed more than $1.1 million for fraudulent group trips and $184,000 for trips that did not occur.
Farhan and Effat Rizwan are due back in court on Dec. 7 and Fouzia Rizwan is due back in court on Dec. 9. The charges filed in this case are merely accusations and the defendant is presumed innocent unless and until proven guilty in a court of law.
This is the latest Medicaid fraud case resulting from a joint investigation by DiNapoli and Carney’s offices. Earlier this year, the owner of Angel Medical Transportation, Mohammad Chaudhry, was indicted for stealing over $1.8 million from Medicaid. Chaudry had claimed payment for purported individual rides which were actually unauthorized group rides. His case is pending.