While Raleigh Trammell is on house arrest- awaiting trial for allegedly stealing a few hundred thousand dollars from federal and state funds for the poor- Pam Morris, the grossly paid CEO of a company that ONLY has government as a client- gets to pay a $26 million dollar fine and continue on like nothing happened. You read about this travesty of justice first here: http://esrati.com/whos-the-criminal-sclc-montgomery-county-caresource/4325/
From the Dayton Business Journal:
CareSource, the Dayton-area’s third-largest company, will pay a $26 million fine to the federal and state government. The agreement, announced Tuesday, stems from allegations that CareSource collected Medicaid payments for assessments and case managements it failed to provide, according to a news release from the U.S. Justice Department.
The Justice Department alleges that between 2001 and 2006 CareSource received millions of dollars in Medicaid funds that it was not entitled.
The company did not provide required screening, assessment and case management for adults and children with special health care needs, according to the release.
Further, it alleges CareSource submitted false data to Ohio.
“Cash-strapped Medicaid programs, such as Ohio’s, can ill afford conduct such as this, designed to improve this company’s bottom line at the expense of a program benefitting the poor and disabled,” said Tony West, assistant attorney general for the civil division.
Despite making payment, CareSource denies any wrongdoing.
“The Department of Justice has made several allegations, all of which we disputed,” said Pamela Morris, president and CEO of CareSource, in a statement. “In the end, we chose to reach a financial settlement, bringing the matter to a close, and continuing to focus on our mission of making a difference in the lives of underserved people by improving their health care.”
Morris further said the organization is strong, that health and medical services to members will not be affected and payments to physicians, hospitals and other providers will continue as usual.
This settlement also resolves a whistleblower action filed by two former CareSource employees, Laura Rupert and Robin Herzog. They filed a suit in the Southern District of Ohio on behalf of the United States when they became aware of CareSource’s practices. The whistleblower provisions allow people with knowledge of fraud to file suit on behalf of the United States and share in any recovery. As part of this settlement, Rupert and Herzog will receive a share of the federal portion of the settlement totaling approximately $3.1 million.
CareSource, a nonprofit health plan provider, serves more than 862,000 Medicaid and Medicare Advantage consumers in Ohio and Michigan.
With $2.4 billion in revenue last year, it ranks as the Dayton region’s third-largest company.