New York’s mind-boggling $124 billion taxpayer-funded Medicaid program is riddled with fraud and waste , US regulator Dr. Mehmet Oz said Sunday — and dogged federal investigators are digging into it. “In the beautiful city of New York and surrounding New York state, we know that there are a lot of people who are providing services that we don’t think are legitimate, that are costing the taxpayers a lot of money,” said Oz, who heads the US Center for Medicare and Medicaid Services, on 77 WABC’s “