Arizona Attorney General Kris Mayes announced that L & L Investments, LLC has been ordered to pay more than $34 million for defrauding the state’s Medicaid system. The Monday ruling by the Maricopa County Superior Court includes $30.2 million in restitution to the Arizona Health Care Cost Containment System (AHCCCS), on top of a $4 million fine imposed in 2024. The court's decision follows the company's felony conviction for its role in a large-scale fraud scheme involving behavioral health services. Prosecutors said L & L Investments submitted false billing claims and facilitated similar fraudulent activity by others, using consulting services as a cover to franchise their scheme.
“This wasn’t just theft from the state—it was exploitation of vulnerable Arizonans who were seeking help in their recovery,” said Attorney General Mayes. L & L Investments was indicted in 2021 after an investigation led by the Attorney General’s Health Care Fraud and Abuse Section, in collaboration with state and federal inspector generals. In May 2024, a jury found the company guilty on multiple felony counts, including Conspiracy, Fraudulent Schemes and Artifices, Illegal Control of an Enterprise, and Theft.
The company was sentenced in August 2024 to pay a $4 million fine and serve seven years of probation. The court finalized the restitution amount earlier this month. Attorney General Mayes emphasized that her office will continue to pursue health care fraud aggressively, stating, “This fraud severely undermined trust in behavioral health services and harmed countless lives.”
