Undercover Video Alleges Medicaid Fraud in Virginia

Virginia's attorney general and Richmond city authorities are investigating a video showing a man posing as a wealthy Russian drug smuggler being told by a government worker how to apply for Medicaid.

The undercover video, shot July 1, appeared Thursday on conservative activist James O'Keefe's Project Veritas website.

In it, a social services worker in Richmond's Medicaid office counsels a man speaking in a Russian accent not to note his fabricated drug dealing or prostitution involvement on his application.

Project Veritas released similar covert videos earlier this week that were made at Medicaid offices in Ohio, South Carolina and New York.

Attorney General Ken Cuccinelli ordered his Medicaid Fraud unit to investigate, and Gov. Bob McDonnell asked the State Police to review it. The city is investigating the video's validity.

(Copyright 2011 by The Associated Press. All Rights Reserved.)