New York State Governor Andrew Cuomo speaks at a news conference on September 8, 2020 in New York City.
Spencer Platt | Getty Images
New York’s attorney general is investigating whether a state health clinic fraudulently obtained doses of Covid vaccine and distributed them to the public, Gov. Andrew Cuomo said Monday.
Cuomo declined to provide details of the investigation because it is ongoing, but noted that it involves ParCare Community Health Network, which the state identified as a provider in Orange County, New York. Parcare allegedly misrepresented himself to the state health department for vaccine doses, Cuomo said.
The New York State Commissioner for Health, Dr. Howard Zucker said in a statement released over the weekend that the clinic may have “deviated [the vaccine] to members of the public, contrary to the state’s plan to administer it first to front-line health workers, as well as to nursing home residents and staff. “
Because vaccine doses are so low, states ration the vials to certain priority groups before making them more widely available.
ParCare did not immediately return the request for CNBC feedback, but the clinic he said on Twitter who will “actively cooperate” with the New York State Department of Health.
These are the first cases of alleged fraud associated with vaccines against Covid, but it is unlikely to be the last, said Cuomo, who added that fraud related to a valuable product is “almost an inevitable function of human nature.” .
“We want to send a clear signal to suppliers that if you break the law on these vaccines, we will find out and they will be prosecuted,” Cuomo said Monday in a briefing. “You’ll see more and more of this. The vaccine is a valuable product and you have a lot of people who want it.”
New York State police have conducted a criminal investigation, Cuomo said, and will refer the case to Letitia James of New York, whose office did not return CNBC’s request for comment.
To send a clear signal to possible insults to the vaccine, Cuomo said he will sign an executive order on Monday outlining the consequences of fraud in the state regarding the distribution of vaccines. He said the state can fine up to $ 1 million and the state will revoke the health care provider’s license to practice in New York.
“We feel very serious,” he said. “We’ll find out and it’s not worth risking your license, as well as a possible civil and criminal sanction.”
Cuomo described the sanctions as “the strictest in the country,” adding that New York is taking a “hyper-prudent and hyper-vigilant” approach.
“We have established sanctions. We have established guarantees, but when it comes to thousands of people, hundreds of organizations and a valuable commodity, they expect a level of fraud,” Cuomo said. “So sure the day gets done at night, you’ll have people fooling the government.”
“I understand the value of a bottle,” he added. “Some of these vials can make ten vaccines. You could sell one vial, so I understand the temptation.”