State prosecutors say a Milwaukee woman is at the center of a multimillion-dollar fraud and money laundering case tied to a local home-health business. Debbie Long, 44, is charged with five felony counts that accuse her of Medicaid billing fraud, a bogus Paycheck Protection Program loan and laundering money that investigators say was used on business purchases and luxury items. Long is set for an initial court appearance in July, and prosecutors say she could be looking at decades in prison and more than $10 million in fines if she is convicted.
According to FOX6 Milwaukee, the Wisconsin Department of Justice alleges that from March 2017 through August 2022, Long billed Wisconsin Medicaid for exaggerated or fabricated personal-care services and received more than $2 million in reimbursements. Prosecutors also say Long filed a fraudulent PPP loan application in 2020, claiming about 120 employees and roughly $87,000 in monthly payroll, while workforce records cited in the case filings showed about 46 employees and around $36,000 in payroll.
"It happens at sort of a percentage of more often than we think," Marquette visiting research professor Lisa Grabert told FOX6 Milwaukee, describing how some provider frauds grew during the pandemic. She noted that recovered money can be steered back into public priorities, a theme prosecutors underscored as they laid out where the alleged fraud proceeds ended up.
Prosecutors allege money was laundered into local businesses
Investigators say the Medicaid reimbursements and PPP money did not just sit in a bank account. Prosecutors allege the funds were routed through shell companies and then used to buy local businesses and high-end goods. According to the charging documents reviewed by reporters, purchases tied to the alleged scheme include Kitt's Frozen Custard on Capitol Drive, an Octopus Car Wash and a Mercedes-Benz.
Part of a broader push against health care fraud
The case is unfolding as authorities ramp up efforts against health care fraud. In its 2025 National Health Care Fraud Takedown, the U.S. Department of Justice announced that hundreds of defendants were charged in schemes involving more than $14.6 billion in alleged fraud. At the same time, the Eastern District of Wisconsin has recently secured stiff sentences in local Medicaid fraud prosecutions. For more on that trend, see recent releases from the U.S. Department of Justice and the U.S. Attorney's Office, Eastern District of Wisconsin.
What happens next
Long is scheduled to make her initial court appearance in July, and prosecutors say the investigation is still active as additional filings are unsealed. The charges are allegations at this stage, and Long is presumed innocent unless and until she is proven guilty in court.
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