More than 50 medical transportation companies received cease and desist notices from the state attorney general’s office Wednesday instructing them to cease any alleged fraudulent Medicaid activity involving illegal billing schemes.

Attorney General Letitia James said her office sent cease and desist notices to 54 companies warning of financial penalties and prison time.

"Transportation companies are billing Medicaid for fake rides and tolls, costing New York taxpayers tens of millions of dollars every year," said Attorney General Letitia James. "Today, we have uncovered 55 additional transportation companies operating throughout the state.

Notices went out to 54 companies across the state that the attorney general's office contends are defrauding Medicaid.

A local transportation company is caught in the crossfire of an investigation, temporarily halting operations.