The foreign-born owners of several adult daycare centers in Queens have donated thousands to Democrats while raking in millions from Medicaid.
Baoli Zhang, a 69-year-old community figure and noted erhu musician, is linked to multiple social adult daycare centers (SADCs) in the area, including the Bao Kang Adult Day Care, according to the New York Post.
The Bao Kang Adult Day Care alone has collected $32 million from Medicaid since 2018. During this time, Zhang reportedly directly donated $10,000 to New York Gov. Hochul, with another $5,000 coming through Bao Kang.
🚨Adult daycare owners billed Medicaid $32 million while their centers sat empty and they seemingly funneled cash to Kathy Hochul!!
Baoli Zhang’s businesses in Flushing, Queens claimed at least $32 million from Medicaid since 2018.
When the New York Post visited, the centers… pic.twitter.com/3P0QRZsWGd
— Blue Lives Matter (@bluelivesmtr) August 14, 2026
The Post notes that Bao Kang only collected $1.5 million in Medicaid in 2018. However, the COVID pandemic jumpstarted the need for SADCs, prompting the daycare’s Medicaid grants to spike to $7.22 million by 2024.
“In 2021, [social adult daycare centers] were dying due to COVID,” an industry source told the Post. “Someone threw them a lifeline and must have said something like, ‘Take care of me, I’ll take care of you.’ They’re making more money than ever now.”
Then there’s Jiemin Shang, who’s tied to the Livingwell Day Care and Finest Adult Day Care. Each daycare donated $5,000 to Hochul in 2022. That same year, Livingwell billed Medicaid a whopping $5.8 billion.
Hochul benefited from a total of $55,000 in donations received from SADCs in 2022. Nearly half of that money reportedly came from Zhang and Shang.
Based on these findings, investigative journalist Nick Shirley has accused Zhang, Shang, and Hochul of participating in a “money-laundering scheme”:
🚨 Your tax dollars have become the new money-laundering scheme for these corrupt politicians. Governor Hochul has been taking donations from these daycare fraudsters in NYC who receive millions of your taxpayer dollars to operate “adult daycares”
When I exposed the fraud in… pic.twitter.com/XUxD03Yghz
— Nick shirley (@nickshirleyy) August 13, 2026
But there’s more.
The Post’s reporters found Zhang and Shang’s daycares to be vacant or sparsely occupied during recent visits, despite high patient claims.
During a July 29 visit to the Livingwell Adult Day Care in Flushing, Queens, the Post found zero patients and was asked by staff members to leave.
The good news is that the New York State Department of Health confirmed to CBS News that it’s referred 387 SADCs for investigation since 2021. A third of those cases were forwarded to the state attorney general for legal action.
So what exactly are SADCs? They provide meals, personal care, social activities, and other support for seniors and people with disabilities. These services are billed to Medicaid and paid with federal and state tax dollars.
Nationwide, Medicaid paid adult daycare providers about $3.35 billion in 2024. New York accounted for 17 percent of that spending across roughly 375 facilities — more than any other state. New York’s spending on these centers nearly quadrupled from 2018 to 2024.
Flushing, Queens, the location of Zhang and Shang’s SADCs, has the densest cluster in the country, with 64 daycares within a one-mile radius.
It’s a service paid for with your tax dollars. Social adult daycares provide meals, care, social activities and other assistance to seniors and people with disabilities. CBS News has spent weeks investigating these centers across New York – and now we’ve learned, the feds are… pic.twitter.com/shuQXIagaQ
— CBS News (@CBSNews) July 1, 2026
In Flushing, the area’s Medicaid-eligible senior population grew about 20 percent from 2018 to 2024, which was in line with national trends. Yet the number of seniors billed by daycares rose by a whopping 390 percent.
Administrator of the Centers for Medicare & Medicaid Services (CMS) Dr. Mehmet Oz has questioned the need for so many of these centers.
FLUSHING, QUEENS, NYC — an epicenter for one of the biggest fraud rings you’ve never heard of: Social adult daycares.
In Queens, NY alone, social adult daycares generate $2.1 BILLION.
@nickshirleyy and I investigated, and the War on Fraud continues.Stay tuned. pic.twitter.com/GrAK0OvBDs
— Dr. Oz CMS (@DrOzCMS) July 10, 2026
According to the Post, neither Zhang nor Shang have been accused of wrongdoing … YET.
Neither man responded to the Post when pressed for comment about the paper’s bombshell reporting.
Writers and editors can be contacted at [email protected] with feedback, tips, or corrections.
V. Saxena is a staff writer with a decade of experience as a professional writer, and a lifetime of experience as an avid news junkie. He holds a degree in computer technology from Purdue University. Saxena also contributes to BizPac Review.
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