Massachusetts Medicaid fraud case settled for $25M

A private equity firm and two former executives at a mental health provider have agreed to pay $25 million to settle a lawsuit that alleged they caused fraudulent claims to be submitted to the state’s Medicaid program.

The state attorney general’s office said Thursday that South Bay Mental Health Center, Inc., which operates facilities in more than a dozen communities around the state, provided services for thousands of patients through the state’s Medicaid program by unlicensed, unqualified, and improperly supervised staff members.

The attorney general’s office called the agreement the largest publicly disclosed government health care fraud settlement in the nation involving private equity oversight of health care providers.

Source: Massachusetts Medicaid fraud case settled for $25M / WJAR

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