St. Paul business owner charged in $4M Minnesota Medicaid fraud scheme
Medicaid fraud suspect goes before judge
A day after the federal prosecutors announced charges against 15 people who they say stole more than $90 million dollars combined, another Medicaid fraud suspect went before a judge on Friday for allegedly stealing more than $4 million, while providing no actual services. FOX 9’s Mike Manzoni has the latest.
ST. PAUL, Minn. (FOX 9) - A St. Paul business owner is facing federal charges after prosecutors said she stole millions from Medicaid by fraudulently billing for services, including some which were never provided.
Fraud charges against St. Paul business owner
What we know:
Sharmaine Meadows, who owns Cradle of Love in St. Paul, billed Medicaid for $4.3 million in fraudulent claims over more than five years, prosecutors say. They said some of the claims were for services that were never provided.
Meadows’ company website describes her as the founder of a multimillion-dollar home health care agency and features a blurb about how she is committed to "complying with all... federal laws."
But prosecutors said she did not follow those laws.
Meadows appeared in federal court Friday afternoon to answer to the charges.
Federal crackdown on Medicaid fraud in Minnesota
Timeline:
The charges against Meadows came just a day after federal prosecutors announced that 15 people were being charged for stealing more than $90 million from Medicaid.
Among those charged is Muhammad Omar, who authorities said was on the run after jumping from a balcony as FBI agents closed in. He was arrested later Thursday.
Prosecutors said he and another man fraudulently billed Medicaid for more than $3 million and even claimed to help a dead person find housing.
"This is just the beginning," said Colin McDonald, assistant attorney general, at Thursday’s news conference in Minneapolis.
"If you somehow get money that goes out the door that doesn’t belong to you, the FBI’s going to find you, put you in handcuffs and prosecutors are going to throw you in jail," warned Andrew Ferguson, chairman of the Federal Trade Commission.
Federal officials said the crackdown is part of a larger effort to stop fraud and recover taxpayer money.
Meadows did not immediately respond to a request for comment.