States let Medicaid fraud go unpunished

In the three minutes it will take you to read this editorial, 570,681 tax dollars will be misspent.

According to Iowa’s Medicaid fraud investigators, Kimberly Krum of Colfax has bilked state and federal taxpayers out of almost $2 million.

But she will not face any criminal charges and will not have to pay back any of that money. Ever.

Four years ago, the state investigated Krum for allegedly inflating the business expenses of her Des Moines counseling agency, Families First. Because Medicaid payments are partly based on a service provider’s business expenses, investigators were concerned that Families First had paid Krum’s personal expenses, such as lavish gifts to co-workers and a trip to a Jamaican resort. That resulted in Medicaid overpayments for counseling services, the state said.

Source: The Register’s Editorial: States let Medicaid fraud go unpunished

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