A Memphis woman has been sentenced to federal prison for defrauding healthcare programs and COVID-19 relief efforts. Nakita Cannady, 49, will serve 14 months behind bars followed by two years of supervised release. Additionally, she's been ordered to pay over half a million dollars in restitution. This conclusion, arrived at a sentencing hearing on April 4, was announced by Interim United States Attorney for the Western District of Tennessee, Joseph C. Murphy, Jr.
Cannady, who owned and operated What About Us In-Home Healthcare, was accused of overcharging Cigna Insurance for services not rendered between May 2017 and December 2019. According to the U.S. Attorney’s Office, she billed for 24-hour care when patients only received 8 to 12 hours, leading to an order of restitution of $193,508.10 to Cigna. In a separate charge, Cannady filed six fraudulent loan applications related to the COVID-19 relief programs for businesses she claimed to control, resulting in further restitution of $346,882.13 owed to the Small Business Administration.
Special Agent in Charge Joseph E. Carrico of the FBI's Nashville Field Office weighed in on the severity of the crimes, saying, "Those who exploit health care programs for personal gain will be held accountable to the fullest extent of the law." He stressed health care fraud as a priority and the FBI's resolve to work with partners to pursue those who put greed over welfare, as noted by the U.S. Attorney's Office.
The prosecution was a joint effort, with assistance from former Assistant United States Attorneys Courtney Lewis and Murrell Foster and Assistant United States Attorney Christopher Cotten. The investigations that led to Cannady's convictions were carried out by the FBI's Nashville Field Office – Memphis Resident Agency and the Tennessee Bureau of Investigation.
