Massachusetts Attorney General Andrea Joy Campbell announced a substantial settlement this week with Traveler's Transit, Inc., a non-emergency transportation provider based in Millville. The company agreed to pay over $1 million after allegations surfaced that they had defrauded state programs MassHealth and the Department of Developmental Services by falsifying travel claims and neglecting to provide required safety monitors on some routes. According to a statement provided by the Office of the Attorney General, the company will also put in place a three-year independent compliance monitoring program to prevent future violations.
"When companies violate our laws and defraud crucial state programs, taxpayer-funded resources are wasted, and the integrity of our public programs are put at risk," AG Campbell said. As outlined in the settlement agreement, Traveler’s Transit will pay $1.045 million to the Commonwealth, the restitution is intended for both MassHealth and DDS. Furthermore, the settlement mandates updates to company policies, staff training on these policies, and regular audits. These steps are put in place to align the company with required state and federal laws, as sttaed by the Office of the Attorney General.
This case was built on accusations that Traveler's Transit engaged in fraudulent practices, including the combining or eliminating of contracted routes and then falsely claiming payments for these untravelled contracts. A critical component of these violations was the company's failure to fulfill the contract stipulation that demanded staff monitors for certain routes to ensure passenger safety, especially since many of those transported by Traveler's Transit have disabilities, as per the Office of the Attorney General.
The whistleblower lawsuit initiated in the District of Massachusetts was instrumental in uncovering these dishonest practices. The investigation and subsequent legal action were led by Assistant Attorney General Shannon Keating of the AGO’s False Claims Division, and supported by Senior Healthcare Fraud Investigators William Welsh and Vanessa Asiatidis, Investigator Julia Galvao, and Investigations Supervisor Dean Bates of the Medicaid Fraud Division. The U.S. Attorney’s Office for the District of Massachusetts and the Executive Office of Health and Human Services offered significant assistance, these efforts emphasize the commitment to maintaining the integrity of public services and funds, according to the Office of the Attorney General.
The repercussions for Traveler's Transit underline the ongoing endeavors of the Office of the Attorney General to address and deter fraudulent activities that deplete public funds and take advantage of the state’s trust. This settlement is just one of several efforts to confront companies and individuals exploiting the system—from earlier indictments against another transportation company for over $3 million in theft from MassHealth to cracking down on construction fraud at regional airports. The AGO continues to prioritize these issues, ensuring accountability and inviting the public to report suspected foul play through their False Claims Tip Line or via their website regarding MassHealth fraud or abuse cases.
With federal support comprising 75 percent of its budget, the Massachusetts Medicaid Fraud Division is an annually certified Medicaid Fraud Control Unit by the U.S. Department of Health and Human Services. Its objectives span across the investigation and prosecution of healthcare fraud, as well as the handling of abuse and neglect within healthcare settings, funded for the federal fiscal year 2025 by a grant award totaling $5,922,320 and supplemented by state funds of $1,974,102, as reported by the Office of the Attorney General.
