Texas Dentists for Medicaid Reform

NEW PHONE NUMBER
For more information call (512) 487-7584

  • Home
  • Issues
  • * Medicaid Difficulty Alert *
    • About the Medicaid Difficulty Alert
    • Alert Form
  • Articles
    • TDMR articles
    • Medicaid Media
    • Compliance Articles
  • Archive
    • The Facts About the Medicaid Orthodontic Scandal 2007 to 2012
    • Antoine Dental Case
    • HHSC-OIG Archive 2012 to 2014
      • TMHP
      • Harlingen Family Dentistry Case
        • Further HFD articles
      • OIG Never Returns Funds
      • Webinar March 19 2012
      • 2008 TMHP Audit by OIG
      • 2012 TMHP Audit by OIG
      • OIG Legislative Testimony
        • OIG Testimony March 19 2013
        • OIG Testimony February 13 2013
        • OIG Testimony February 4 2013
        • OIG Testimony January 30 2013
      • Jack Stick Arrest for DWI
    • Due Process Archive
      • Survey Results
      • Committees
        • Hearing Videos
      • TDMR Submission
      • HB 1536/SB 785
        • House Committee on Human Services
        • Written Testimony
        • Attorney Testimony Videos
        • Dental Provider Testimony Videos
      • SB 1803
        • Overview
        • Bill Moves to House
        • Public Testimony Videos
        • Passes House Committee
        • Bill Changed Before House Vote
        • SB 1803 Has Passed the House!
      • Other Proposed Bills
      • Due Process Legal Articles
      • Legislative Media
      • Media Archive
  • About
    • Dr. Juan D. Villarreal
    • Dr. Paul Dunn
    • Gregory Ewing
  • Contact
You are here: Home / Medicaid Reform News / Dentist’s Nightmare Over – Settles for $120,000 Withheld Medicaid Funds

Dentist’s Nightmare Over – Settles for $120,000 Withheld Medicaid Funds

July 28, 2015 By TDMR Leave a Comment

Dr. Paul Dunn

Dr. Paul Dunn

The vicissitudes of Dr. Paul Dunn have been chronicled by TDMR over the last several years. Dunn first appeared on the scene when he came to Austin during the 2013 legislative session.

“Credible allegation of fraud” payment hold, but told he hadn’t committed fraud

He had been placed earlier under a 100% “credible allegation of fraud” payment hold for his Medicaid orthodontic billings by then deputy inspector general for enforcement Jack Stick. He had an informal resolution meeting with Stick who told him that Dunn apparently hadn’t committed any fraud but the agency still wanted its money back. As a result of the meeting, Stick eventually reduced Dunn’s payment hold to 51% which barely kept his doors open.

Courageous in testifying before legislative committees

In Austin, Dunn courageously testified before the House Human Services Committee on HB 1536.  He told about his experiences with OIG and Stick who was also at the hearing representing the agency. Dunn explained to the committee that the agency based its demands on only four cases out of 50 which investigators had looked at and that he had been told he owed back $1.2 million as a result of the extrapolation.

He said he couldn’t understand why the agency was still withholding money under a “credible allegation of fraud” payment hold if Stick said he hadn’t committed fraud.

OIG overpayment demand went from $1.2 million to over $2 million

Stick faced stiff questioning from the committee members as a result. Dunn obviously raised Stick’s ire as the amount demanded from Dunn increased up to over $2 million shortly after he testified.  But he continued to testify.

Dr. Paul Dunn testifying before a legislative committee

Dr. Paul Dunn testifying before a legislative committee

Kept afloat barely

By hook or by crook since then, Dunn has kept personally afloat. He liquidated insurance policies and life savings, some $200,000 he was saving for his retirement after 40 years serving the citizens and Medicaid patients of Levelland. He is 68 years old.

However, he didn’t have funds for his legal defense as his Medicaid patient roll decreased and 51% of little is littler.

Paid bankruptcy trustee but not yet filed forms

Earlier this year, Dunn said he was going to file for bankruptcy this time and had already paid a trustee her fees. But the forms had not yet been filed.

At the same time, OIG had set a court date for him to go before the HHSC Appeals Court this month on the alleged overpayment. Considering that the judge would have been Rick Gilpin, the judge who overturned the Antoine Dental decision by the State Office of Administrative Hearings that found Antoine innocent of allegations of Medicaid fraud, it would have been fruitless to represent himself.

In fact, as TDMR reported, Dunn was told by an OIG lawyer to go bankrupt if he wanted things to end. It would be considerate of Dunn to do so as it would be “easier on everyone” and save the state court costs.

Saga ends with OIG settling for $120,000 already withheld from Dunn

It seems more rational heads prevailed at OIG. They decided to settle with Dunn for the $120,000 they had withheld from him and drop everything else. No admission of guilt or wrongdoing. This was just completed within the last week or so.

Small hurrah. Giving Dunn back his money would have been better and restoring his reputation.

But, as Dunn said, he would have loved to fight the allegations to the bitter end if he had the money. The settlement is bittersweet as at least now he can get on with the rest of his life without this cloud hanging over his head. He didn’t want to go bankrupt. But he would have preferred to be fully exonerated.

We wonder if HHSC-OIG is demanding that Jack Stick pay any money back to the state for his excesses – the $2,800 executive chairs, the $86 OIG badges, any of the $20 million given to 21CT.

Highly doubtful, isn’t it?

Share this:

  • Click to share on Facebook (Opens in new window)
  • Click to share on Twitter (Opens in new window)
  • Click to share on LinkedIn (Opens in new window)
  • Click to print (Opens in new window)
  • More
  • Click to share on Reddit (Opens in new window)
  • Click to share on Pinterest (Opens in new window)
  • Click to share on Tumblr (Opens in new window)

Filed Under: Medicaid Reform News, Slider Tagged With: jack stick, medicaid fraud, office of inspector general

Leave a Reply Cancel reply

Your email address will not be published. Required fields are marked *

Search the TDMR Website

Most Viewed Posts & Pages

  • UPDATE: Dentists Clarified as Healthcare Workers to Receive COVID-19 Vaccines
    UPDATE: Dentists Clarified as Healthcare Workers to Receive COVID-19 Vaccines
  • Judge Orders Dr. Richard Malouf to Pay Texas Back $12 Million for Medicaid Fraud
    Judge Orders Dr. Richard Malouf to Pay Texas Back $12 Million for Medicaid Fraud
  • Medicaid Ortho Case Photos with HLD Scores by Provider and Experts
    Medicaid Ortho Case Photos with HLD Scores by Provider and Experts
  • TDMR DMO Survey 2018 Results: MCNA Improves, DentaQuest Has More Problems, Dentists Frustrated
    TDMR DMO Survey 2018 Results: MCNA Improves, DentaQuest Has More Problems, Dentists Frustrated
  • MB2 Dental Solutions Issues Statement About $8.45 Million Settlement
    MB2 Dental Solutions Issues Statement About $8.45 Million Settlement

Receive Updates on TDMR Activities

Recent Comments by Readers

  • Nilar Vargas on Dentists cleared to administer COVID-19 vaccine in California
  • TDMR on UPDATE: Dentists Clarified as Healthcare Workers to Receive COVID-19 Vaccines
  • Angela on UPDATE: Dentists Clarified as Healthcare Workers to Receive COVID-19 Vaccines
  • Marjaneh on UPDATE: Dentists Clarified as Healthcare Workers to Receive COVID-19 Vaccines
  • Jane on OIG Presentation on Dental Solicitation
  • JHH on UPDATE: Dentists Clarified as Healthcare Workers to Receive COVID-19 Vaccines

Recent Media of Interest

Woman claims dentist pulled wrong tooth

January 16, 2021

Compounding Pharmacy Mogul Sentenced for Multimillion-Dollar Health Care Fraud Scheme

January 16, 2021

Man Charged with $5 Million COVID-Relief Fraud

January 16, 2021

Justice Department Recovers Over $2.2 Billion from False Claims Act Cases in Fiscal Year 2020

January 14, 2021

Longview clinic agrees to pay more than $330,000 in Medicare fraud case

January 12, 2021

Texas legislature opens amid ongoing pandemic, political unrest

January 12, 2021

Dental workers anxiously wait for COVID-19 vaccine

January 8, 2021

Dentists cleared to administer COVID-19 vaccine in California

January 6, 2021

Stanford Healthcare Loses in Appeals Court, Accused of Alleged $468 Million Dollar Healthcare Billing Fraud

January 5, 2021

CEO of inpatient treatment center admits to Medicaid billing fraud

January 5, 2021

Despite what dentists may be hearing, now is a great time to buy a practice

January 4, 2021

Physician sentenced to prison for fraud that led to deaths

January 1, 2021

Owner of Texas hospice chain gets 20 years in prison for $150M fraud

December 30, 2020

Texas hospital pays $48M to settle false claims allegations

December 21, 2020

Florida physician pleads guilty to $29M fraud

December 21, 2020

Tenn. nurse practitioner charged with using patient information to obtain drugs

December 18, 2020

More Articles...

Copyright © 2021 · All Rights Reserved. Texas Dentists for Medicaid Reform · Privacy Policy