Massachusetts Alleges Medicaid Fraud in Federal Lawsuit

Maura Healey (AP Photo/Steven Senne, File)

BOSTON (AP) — The Massachusetts attorney general has sued a mental health company that serves tens of thousands of low-income state residents for allegedly fraudulently billing the state’s Medicaid program.

Attorney General Maura Healey said in a statement Tuesday that South Bay Mental Health Center Inc. billed MassHealth for patient services provided by unlicensed, unqualified and unsupervised staff members.

Healey says of the $123 million the state has paid South bay since 2009, a “significant portion” was based on fraudulent claims.

Healey’s office started investigation after a former South Bay employee filed a federal whistleblower suit.

The suit filed in federal court seeks unspecified triple damages, civil penalties and interest.

South Bay provides services at 17 locations in the state, including Mashpee and Plymouth.

The company says it “does not agree with the allegations.”

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