New York State Government Andrew Cuomo speaks at a news conference on September 8, 2020 in New York.
Spencer Platt | Getty Images
The New York Attorney General is investigating whether a state medical clinic fraudulently obtained doses of Covid vaccine and distributed them to the public, Gov. Andrew Cuomo said Monday.
Cuomo declined to provide details about the investigation because it is ongoing, but said it involves the ParCare Community Health Network, which the state has identified as a provider in Orange County, New York. Parking would have been distorted in front of the state health department to get vaccine doses, Cuomo said.
New York State Health Commissioner Dr. Howard Zucker said in a statement released over the weekend that the clinic could have been “diverted.” [the vaccine] members of the public – contrary to the state’s plan to administer it first to health care workers, as well as to nursing home residents and staff. “
Because vaccine doses are so low, states are rationing ampoules into certain priority groups before they are more widely available.
ParCare did not immediately return CNBC’s request for comment, but the clinic he said on Twitter that he will “actively cooperate” with the New York State Department of Health.
It is one of the first cases of alleged fraud associated with Covid vaccines, but is unlikely to be the last, Cuomo said, adding that fraud involving valuable goods is “almost an inevitable function of human nature.”
“We want to send a clear signal to providers that if you break the law on these vaccinations, we will find out and you will be prosecuted,” Cuomo said Monday in a news briefing. “You will see more and more. The vaccine is a valuable commodity and you have many people who want the vaccine.”
The New York State Police has conducted a criminal investigation, Cuomo said, and will forward the case to New York AG Letitia James, whose office did not return CNBC’s request for comment.
To send a clear signal to potential vaccine scammers, Cuomo said he would sign an executive order on Monday that would delineate the consequences of state fraud when it comes to distributing the vaccine. He said the state can fine offenders by up to $ 1 million, and the state will revoke the health care provider’s license to practice in New York.
“We are very serious about this,” he said. “We will find out and it is not worth risking your license, as well as a possible civil and criminal punishment.”
Cuomo described the sanctions as “the strictest in the country,” adding that New York is taking a “hyper-cautious, hyper-vigilant” approach.
“We have the sanctions in place. We have the guarantees in place, but when you are dealing with thousands of people and hundreds of organizations and valuable goods, you expect a level of fraud,” Cuomo said. “No matter how safe the night after the day, you will have people cheating the government.”
“I understand the value of a bottle,” he added. “Some of these vials can make 10 vaccines. You can sell that vial, so I understand the temptation.”