Dozens arrested in Medicaid fraud probe: source NEW YORK (Reuters) - The FBI arrested about 50 people across the United States early on Tuesday as part of a Medicaid fraud probe involving hundreds of millions of dollars of prescription drugs, a law enforcement source said. The alleged fraud cheated Medicaid, a government-run health insurance program for the poor and handicapped, out of tens of millions of dollars, said the source, who declined to be identified because the charges had not been made public. The sweep on Tuesday focused on a network of Medicaid beneficiaries who stockpiled drugs and re-sold them to distributors and retailers, the source said. The arrests by the Federal Bureau of Investigation included more than a dozen people in the New York City area, the source said. Reporting By Basil Katz; Editing by Paul Simao and Tim Dobbyn