Shock video: Medicaid caught encouraging fraud

Shock video: Medicaid caught encouraging fraud: "'Drug dealers' applying for Medicaid

Undercover citizen journalist James O'Keefe is at it again, this time capturing on video an Ohio government worker helping a 'drug dealer' commit Medicaid fraud.

Posing as Russian drug smugglers who drive an exotic, $800,000 sports car and hire out their underage sister as a prostitute, O'Keefe's operatives reportedly applied for Medicaid assistance for their father with the Franklin County Department of Job and Family Services, where government employee Traci Daniels told the applicants to omit listing their expensive car as an asset and report their line of work as 'babysitting.'

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'Maybe I just wouldn't mention it,' Daniels said of the car, 'not that I can say that. You didn't hear that from me. … He would be immediately not qualified.'

Putting her fingers in her ears after discussing the alleged fraud, Daniels said, 'Lalalalala, I don't hear.'"