What Is Medicaid Fraud

Medicaid is a type of government service that is offered to provide people with a way to give themselves and their children medical care without having to spend anything. This is such a great deal to have that there are some people who will attempt to defraud the system by providing false information.

When these people are putting down false information on the Medicaid application form they are stealing money not just from the government – but also from the people. This program is funded through taxes. Every paycheck that someone gets a little bit of money is taken out of it in order to fund the program.

It is often difficult to determine who is committing this fraud because of the way in which they do it. One common way is to give their Medicaid identification card to someone they know, by forging prescription drugs, or by using more then one identification card. When a large amount of people are doing this they are taking money away from those who truly need to use it and forcing the government to lower the funds.

When someone has been accused and found guilty of Medicaid fraud they are facing punishment from both the federal and state governments. When convicted under the federal government they will face a $250,000 fine for one person and a $500,000 for a corporation. Under the state government they will face a fine of $100,000 for one person and a fine of $200,000 for a corporation.

The worst part of this punishment is that the fine will be placed on every occurrence that is presented to the court. The maximum fine is $10,000 along with a five year sentence in prison. Again this could be for each occurrence. If you were proven to have committed the fraud twice then you could spend ten years in prison.

If you know someone who has committed Medicaid fraud than it is your responsibility to report them. We should not allow people to steal from families and children who are truly deserving of it. Contact your local Medicaid Fraud Hotline or visit the Department Of Family and Children office.