Fake 'sober homes' targeting Native Americans scam millions from taxpayers

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The scale of a scam to recruit Native Americans into fake treatment for substance in Phoenix and bill the government fraudulently is now emerging. It's huge.

Medicaid fraud on a grand scale"Today, we are announcing actions against over 100 providers of behavioral health, residential and outpatient treatment services that we have credible reason to believe have defrauded the state's Medicaid program of hundreds of millions of dollars," she said.

So far, there have been 45 indictments in connection with the fraud by the Arizona Attorney-General's office, and more than 100 more facilities have been suspended. The FBI's investigation is ongoing, in tandem with state and tribal authorities. Arizona's Medicaid agency is conducting an audit and the amount of money that can be claimed per Native person treated has been reduced.

"We made contact with several hundred on the streets," says Navajo police officer Arlinda Chischillie-Nez, of the May operation."Young to even old. And, their preference is either alcohol or illicit drugs, and some meth use, and then we saw fentanyl." She and Sergeant Dash say they met people from Washington State, Wyoming and beyond.

Stacy L. Martin, CEO of the Santa Fe Recovery Center, which runs the Four Corners Detox Recovery Center in Gallup, NM, on the edge of the Navajo Nation, says there is a dearth of help for addiction treatment in the area."When you couple the lack of access with the degree to which the need is in communities and particularly in New Mexico," she says,"you've got a recipe for disaster.

 

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Fake 'sober homes' targeting Native Americans scam millions from taxpayersThe scale of a scam to recruit Native Americans into fake treatment for substance in Phoenix and bill the government fraudulently is now emerging. It's huge.
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