Press Releases

Welfare Recipient Fraud Targeted in Multi-State Request by Louisiana and Kansas AG’s
9/7/2017

Attorneys General Jeff Landry and Derek Schmidt Seek Approval from HHS Secretary Tom Price

BATON ROUGE, LA – Louisiana Attorney General Jeff Landry and Kansas Attorney General Derek Schmidt are leading a multi-state effort to obtain the authority to investigate and prosecute cases of Medicaid beneficiary fraud.  

“All welfare fraud needs to be found and ended,” said General Landry. “My Medicaid Fraud Control Unit (MFCU) has been recognized for their diligent success in uncovering and prosecuting provider fraud. We need the authority to bring beneficiary fraudsters to justice and further save Louisiana taxpayers’ hard-earned money.”

With state MFCU’s currently restricted in their ability to target recipient fraud, the Landry-Schmidt coalition has serious concerns about the ongoing impact Medicaid beneficiary fraud has on taxpayers. Landry cites John Bel Edwards’ expansion of Medicaid as adding over 436,375 new beneficiaries and drastically increasing the potential for fraud.

In a letter to U.S. Health and Human Services Secretary Tom Price – the Attorneys General ask for the authority to go after those who commit recipient fraud, of which their office’s Medicaid Fraud Hotlines regularly receive reports and tips. However, current statutes prohibit them from investigating this activity – leaving many of these potential criminal cases untouched.

The Landry-Schmidt letter specifically requests Secretary Price revisit statutory interpretation to evaluate whether it supports MFCU’s ability to investigate and prosecute beneficiary fraud; and, if it does, that the proper action be taken to remove any restrictions currently placed on the MFCU’s.

“Governor Edwards’ expansion has created an urgent need to more aggressively fight Medicaid waste, fraud, and abuse,” said General Landry. “I am optimistic that Secretary Price will recognize the seriousness of our request and grant us the authority to combat this type of welfare fraud.”

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A copy of the letter to Secretary Price may be found at http://www.agjefflandry.com/Home/GetRelatedFile?articleId=2668



Coming soon, the attorney's general office seeks to provide a mechanism by which to take online payments for collections.