The Department of Justice is currently conducting an investigation into the extensive massive Medicaid scandal. in Arizona, which resulted in fraudsters obtaining $2.5 billion in illicit funds.
According to recent reports, it is believed that cunning individuals exploited individuals struggling with addiction to scam the state out of an astonishing $2.5 billion. These bad actors shamelessly took advantage of vulnerable people, billing the government for services that never even existed.
The U.S. Department of Justice is currently investigating the matter.
The Department of Justice officials referred to ongoing criminal investigations in their statement. According to the statement, they stated the following:
“We obtained treatment and billing records from certain entities that billed AHCCCS. Following a federal judge’s order, we provided notice to beneficiaries whose records were acquired by our office.”
At the bottom of the letter, there is a link that guides individuals to a page on the DOJ’s website. This page provides a comprehensive list of ongoing criminal cases and upcoming hearings for defendants who are being charged in AHCCCS fraud investigations.
Jamie Kee has a deep understanding of the scandal that has not only resulted in billions of dollars lost to fraud, but has also affected the lives of many people across the state, including her own family members.
Kee expressed her reluctance to be involved in these scams, citing personal connections with family members who have been victimized by them.
Kee has been actively on guard against recruiters involved in a scheme that targets individuals enrolled in the American Indian Health Plan within Arizona’s Medicaid agency, AHCCCS. Just a month ago, Kee received a letter from the Department of Justice, informing her that her AHCCCS ID number was “linked to an investigation regarding possible billing fraud related to substance abuse treatment.”
“I have never been to any rehabilitation centers, and I am fully aware of the deception that is taking place,” Kee remarked. “I have never attended any programs for substance abuse treatment. Throughout my life, I have never encountered anything of that nature.”
According to the letter, the DOJ and the U.S. Attorney’s Office for the District of Arizona obtained Kee’s records through a court order.
“I’m definitely going to panic, you know? Like, I’ll be thinking, ‘what did I do?'”, Kee expressed. “I’m well aware that I didn’t do anything wrong, so I quickly opened the letter. As soon as I read its contents, I was completely taken aback.”
A concerned mother, who wishes to remain anonymous, shared with us that her son also received the identical letter.
“He’s just eight,” the woman exclaimed.
The woman’s son has never undergone any treatment for substance abuse. According to the woman, they resided in a sober living home while she attended classes at a behavioral health facility. Unfortunately, this facility has been temporarily closed by AHCCCS due to allegations of fraud.
“I don’t understand why he would have been billed,” the woman expressed. “They never informed me that my children would be charged.”
Since May 2023, AHCCCS has suspended payments to 257 behavioral health providers due to ongoing fraud investigations conducted by law enforcement. In a recent demonstration of their concern, Native American groups organized a march from the state’s Department of Health Services to the AHCCCS headquarters to bring attention to the fact that the sober living scheme is still prevalent.
According to Reva Stewart, an advocate for the group Stolen People, Stolen Benefits, the letter from the DOJ has the potential to trigger victims.
Stewart mentioned that many individuals believed they would be responsible for repaying the funds, assuming it was specifically allocated to them.
Unfortunately, we were unable to secure an interview with AHCCCS in time for the deadline on this story. We were hoping to discuss the letter and possible emerging trends in Medicaid fraud with a spokesperson from the organization.
Kee expressed her frustration with trying to reach out to AHCCCS, stating, “I have made multiple attempts to contact them, but it seems like I keep getting the runaround. However, I want to emphasize that I am taking this matter seriously.”