A bill to amend title XIX of the Social Security Act to provide for effective detection and prevention of fraud and abuse in connection with the medical assistance program under that title.

Directs the Secretary of Health, Education, and Welfare, under Title XIX (Medicaid) of the Social Security Act, to establish within the Department of Health, Education, and Welfare an identifiable administrative entity to establish and administer a system for the detection and prevention of fraud and abuse in the provision of medical assistance under such Title.

Requires the entity so established to compile a list of persons who have been convicted of acts specifically prohibited by such Title. Stipulates that persons so convicted shall be ineligible to receive any Medicaid or Medicare payments for six months from the date of conviction.

Requires that provisions for similar anti-fraud units be included in each State Medicaid plan.