Yesterday, the top Medicaid official in the Obama administration denied Indiana’s use of its new state law that would deny millions in taxpayer dollars to the Indiana affiliate of the nation’s largest abortion business.

Governor Mitch Daniels signed the law, which would cut off anywhere from $2 million to $3 million the Planned Parenthood abortion business receives in federal funds via the Indiana government through Medicaid. Daniels said that “any organization affected by this provision can resume receiving taxpayer dollars immediately by ceasing or separating its operations that perform abortions.” ...