Landy v. Velez

OPINION

KEVIN McNULTY, District Judge.

John Landy and Margaret Sauchelli bring this action against Jennifer Velez, Commissioner of the New Jersey Department of Human Services (“DHS”), and Valerie Harr, Director of the DHS Division of Medical Assistance and Health Services.1 DHS administers Medicaid, which is a means-tested program. At some point, Plaintiffs transferred certain assets to others as gifts, exposing themselves to a penalty period of ineligibility (the “Gift Transfer Penalty Period”). Then, shortly before they applied for Medicaid, Plaintiffs rid themselves of cash by lending it out…