FBI Uncovers Massive Medicaid Fraud Scheme at Minnesota Autism Centers: What Whistleblowers Need to Know
Breaking: FBI Raids Reveal Extensive Healthcare Fraud
The FBI has uncovered substantial evidence of multimillion-dollar Medicaid fraud at two Minnesota autism centers, executing search warrants at Smart Therapy Center in Minneapolis and Star Autism Center in St. Cloud. These centers allegedly submitted fraudulent claims through the Early Intensive Developmental and Behavioral Intervention (EIDBI) program, which serves young people with autism spectrum disorder.
Financial Impact
Smart Therapy Center received $13.8 million in Medicaid reimbursements between 2020 and 2024
Star Autism Center obtained over $6 million since its 2020 formation
Overall program billings increased dramatically from $1.7 million in 2017 to approximately $400 million in both 2023 and 2024
Fraudulent Practices Uncovered
Smart Therapy Center's Alleged Schemes:
- Employed unqualified staff, mostly 18-19 year old relatives with no formal training
- Billed for full eight-hour days when staff arrived hours late
- Submitted claims for services by providers who weren't employed there or were out of the country
Star Autism Center's Alleged Violations:
- Billed for services while providers were overseas
- Submitted claims for treatment during times when clients were at school
- Filed claims without proper documentation or qualified providers
The Broader Impact on Healthcare
This investigation reveals concerning connections to the Feeding Our Future fraud case, with at least twelve defendants from that case having ties to autism centers receiving state EIDBI funds. The Department of Human Services is currently investigating 32 individuals or agencies providing early intervention services.
Medicare Fraud and Whistleblower Importance
Healthcare fraud schemes like this one drain billions from public healthcare programs annually, reducing resources available for legitimate patient care. Whistleblowers play a vital role in exposing such schemes, often being the first to identify suspicious billing patterns, unqualified staff, or non-existent services. Their courage in coming forward helps protect both taxpayer dollars and vulnerable patients.
Take Action Against Healthcare Fraud
If you have knowledge of similar fraudulent practices in healthcare settings, The New Jersey Whistleblower Advocates Team offers free, confidential consultations to discuss your rights and options. Our experienced team can help you understand the whistleblower process and protect your interests while fighting healthcare fraud. Contact us today to speak with a qualified attorney about your situation.
Source: https://www.startribune.com/fbi-searching-autism-centers-in-minneapolis-st-cloud-after-finding-substantial-evidence-of-health-care-fraud/601194135?link_id=8&can_id=f87aac00a044a0da0c451889dc4f075a&source=email-fraud-in-america-cybersecurity-fraud-101-and-how-whistleblowers-can-fight-it&email_referrer=email_2559539___from_3088649&email_subject=uk-urged-to-adopt-whistleblower-award-program
This article is a news article for informational purposes only. The Whistleblower Advocates did not represent the parties identified in the story above.