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11 Texas Cities To Pay Nearly $1.7M Over Medicaid Fraud

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DALLAS (AP) – Eleven Texas cities have agreed to pay a total of nearly $1.7 million to resolve allegations of Medicaid fraud.

U.S. Attorney James Jacks on Tuesday announced the agreement with Plano, Frisco, Richardson, Mesquite, Celina, DeSoto, Corpus Christi, Cedar Hill, Rowlett, North Richland Hills and University Park.

The cities cooperated with the investigation and do not admit wrongdoing or liability in the settlement with Texas and the federal government.

Investigators say the dispute involved how claims were coded to be submitted to Medicare and Medicaid for city-dispatched 911 ambulance runs between 2006 and 2010. Certain codes allow reimbursement at a higher rate.

The investigation began with a February 2010 whistleblower lawsuit brought by Douglas Moore, who can receive up to 30 percent of the recovered settlement.

(© Copyright 2011 The Associated Press. All Rights Reserved. This material may not be published, broadcast, rewritten or redistributed.)

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