Minnesota is increasing penalties for Medicaid fraud as state and federal officials continue prosecuting cases involving millions of dollars allegedly stolen from taxpayer-funded programs. The Minnesota Sentencing Guidelines Commission recently approved a higher classification for a new Medicaid fraud offense created under a recently passed law, moving theft of more than $1 million from Severity Level 7 to Severity Level 8.
Medicaid Fraud Penalties
The change means offenders convicted of stealing more than $1 million from Medicaid will face a presumptive commitment to prison, regardless of their criminal history. A first-time offender convicted of a Severity Level 8 crime, which includes crimes like criminal vehicular homicide, faces a presumptive 48-month prison sentence.
Attorney General Keith Ellison urged the commission in July to increase the severity levels. Ellison applauded the commission’s decision, which was released last week. “I am pleased that the state of Minnesota is now treating the theft of money from Medicaid with the severity it deserves,” Ellison said. “Medicaid fraud robs Minnesota taxpayers, and it steals money meant to provide healthcare to our low-income neighbors.”
Recent Medicaid Fraud Cases
Just last week, four men pleaded guilty to defrauding Minnesota’s Medicaid-funded Housing Stabilization Services program of about $2.2 million. Prosecutors said the defendants submitted thousands of fraudulent claims and enrolled about 350 people for services that were never provided.
The HSS program was shut down after investigations revealed systemic fraud that allegedly siphoned millions of dollars from the Medicaid-funded program. “Medicaid fraud is a serious offense with real consequences,” said U.S. Attorney for the District of Minnesota Daniel N. Rosen. “These defendants stole funds intended to support vulnerable Minnesotans who rely on housing and recovery services. Their guilty pleas underscore my office’s commitment to holding accountable those who exploit public programs.”
The Minnesota Department of Human Services has released a website pushing back against federal claims about fraud in the state, which is estimated to total between $9 and $20 billion. “The federal government’s mischaracterization and misrepresentation of Minnesota’s good faith efforts to fight fraud and improve our systems, makes it difficult to trust that our federal partners are really trying to help us better our systems, rather than penalize Minnesotans,” MDHS said on that website.
Original reporting: KTBS 3 (Shreveport) — read the source article.
