Medicaid fraud sweep nets 18 NC providers

North Carolina authorities have arrested 18 health care providers accused of defrauding the state Medicaid system, Attorney General Roy Cooper said Monday.

Posted 5:48 p.m. Dec 19, 2011 — Updated 7:31 p.m. Feb 3, 2015

EDITOR'S NOTE: Court documents show all four charges against Andora Hailey were dropped on Dec. 2, 2013, because the state had insufficient evidence to warrant prosecution.

RALEIGH, N.C. — North Carolina authorities have arrested 18 health care providers accused of defrauding the state Medicaid system, Attorney General Roy Cooper said Monday.

The charges allege more than $500,000 in fraudulent payments combined. The state is pursing criminal convictions as well as restitution of money from the accused, Cooper said.

“Ripping off Medicaid hurts needy patients, wastes taxpayer money and drives up health care costs,” he said in a statement. “We’re sending a strong signal to those who defraud Medicaid that we will find you and make you pay.”

Those arrested include the following:

Andora Hailey, a Wake County mental health provider, is charged with four counts of Medicaid provider fraud. Investigators allege that she submitted more than $25,000 in bogus time sheets for payment.
Sarina Hotka, operator of a Cumberland County health care agency, is charged with eight counts of Medicaid provider fraud. Investigators allege that she billed the Medicaid program for more than $150,000 in unauthorized personal care services.
Gloria Rogers, a Cumberland County speech therapist, is charged with seven counts of Medicaid provider fraud. Investigators allege that she billed the Medicaid program for more than $50,000 in services she wasn't licensed to provide.
Cynthia Denise McLean, operator of a Harnett County home health care agency, is charged with three counts of Medicaid provider fraud. Investigators allege that she submitted more than $8,000 in bogus time sheets for payment.
Geralyn Brown, operator of a Robeson County home health care agency, is charged with two counts of Medicaid provider fraud. Investigators allege that she submitted more than $1,000 in bogus time sheets for payment.
Timothy Batts, operator of a Wayne County group home, is charged with five counts of Medicaid provider fraud. Investigators allege that he billed the Medicaid program for more than $20,000 in unauthorized services at his group home and billed for services to Medicaid recipients that were not provided.

More arrests expected in the weeks and months ahead, Cooper said.

The Medicaid Investigation Unit in the Attorney General’s Office has nearly doubled in size since last year with the addition of new attorneys, investigators, criminal information analysts and support staff, making such crackdowns possible, he said.

“Our investigators, agents and prosecutors are working harder and smarter than ever before to go after Medicaid cheaters and stop the fraud,” he said.

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