Report  Bureau of Special Investigations Annual Report Fiscal Year 2025

As part of the Office of the State Auditor, the Bureau of Special Investigations (BSI) is charged with investigating allegations of public assistance fraud throughout the Commonwealth. The diligent work of BSI examiners ensures that Massachusetts’s public benefit programs, which are funded by taxpayer dollars, are available to residents who truly need these critical benefits.

Under Section 17 of Chapter 11 of the Massachusetts General Laws, BSI’s investigative authority extends to any assistance program administered by the Department of Transitional Assistance (DTA), the Department of Children and Families (DCF),¹ and the Executive Office of Health and Human Services (EOHHS) (which administers MassHealth, the state’s Medicaid program). Although BSI’s enabling statute does not grant it direct authority to investigate public benefits administered by the Department of Early Education and Care (EEC), we work with EEC through a memorandum of understanding. When public assistance fraud cases are substantiated by BSI’s investigations, the following actions take place: these cases are referred to the appropriate agencies for administrative action, fraudulent overpayments are recovered through civil agreements, individuals found at fault are disqualified from programs for specified periods, and particularly egregious cases are prosecuted in state district or superior courts and the US District Court for the District of Massachusetts. BSI recommends cases for prosecution based on a variety of factors, including the severity of the fraud case, the intent of the perpetrator, and the case’s potential to serve as a deterrent to future fraud.

BSI examiners operate from five offices across the Commonwealth. BSI consists of three separate investigative units: the Central Processing Unit (CPU), the Fraud Investigations Unit (FIU, formerly the MassHealth/DTA/EEC Unit), and the Data Analytics Unit (DAU). Assistant directors, each of whom reports directly to the director of BSI, head each unit. While each unit has its own specific concentration, all BSI units collaborate with one another, as investigations often involve allegations of fraud in more than one benefit program. BSI participates in joint investigations and task forces that focus on combating fraudulent activities with other state and federal agencies across the Commonwealth.

This report, as statutorily required, summarizes BSI’s work in fiscal year (FY) 2025 (July 1, 2024 through June 30, 2025).

1. DCF did not administer public assistance funding during this annual report’s review period. Because of this, DCF did not fall within the scope of BSI’s investigative work for this annual report.