The U.S. Department of Justice is now stepping in to investigate the massive Medicaid fraud scandal in Arizona that exploited Native Americans fighting addiction, as per FOX 10 Phoenix. An estimated $2.5 billion was allegedly siphoned off by fraudulent operators billing for non-existent services to the state's Medicaid program, AHCCCS.
Native American community members have felt the brunt of the scam, with many receiving letters from the DOJ about their private information being disclosed during investigations. According to an interview with Jamie Kee by FOX 10 Phoenix, despite having never attended such treatment facilities, Kee’s AHCCCS ID was "identified in connection with an investigation of potential billing fraud connected with substance abuse treatment." Meanwhile, in a separate incident, an unidentified woman reported that her young child received a similar letter despite his never having received substance abuse treatment.
In a move to counteract the fallout and support affected tribes, Arizona Attorney General Kris Mayes announced a $6 million grant program. The grant aims to provide up to $500,000 for tribal nations to aid in "compensation, remediation, and supportive housing for those affected," as stated in a release by the Attorney General's Office that KOLD news reported. The funds will emanate from Arizona's Anti-Racketeering Revolving Fund, a pool of money typically used in the fight against organized fraud and crime.
Despite the ongoing DOJ investigation, some Arizona natives like Kee, told FOX 10 Phoenix, expressed frustration with the lack of clear communication from AHCCCS, stating she was given "the runarounds." The depth and complexity of the fraud have led to multiple entities being suspended by AHCCCS, as a wide-ranging law enforcement investigation continues to unearth the extent of the billing schemes.
