4 sentenced in $12.7M Medicaid fraud; NC treatment center shut down

March 9

fraud

4 sentenced in $12.7M Medicaid fraud; NC treatment center shut down

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NEW BERN, N.C. (WTVD) -- Four people have been sentenced to over 14 years combined in federal prison for a $12.7 million Medicaid fraud scheme that paid over $1 million in kickbacks to patients with substance use disorders, federal prosecutors said Thursday.

A federal judge also ordered the permanent closure of Life Touch LLC, the Kinston and Goldsboro-based provider at the center of the scheme, along with a $15 million fine and the forfeiture of more than $6 million in cash, cars and real estate.

U.S. Attorney's Office, Eastern District of North Carolina

"This is shocking Minnesota-Somali-style fraud right here in North Carolina. For too long, government has allowed grifters to steal taxpayer dollars with impunity. Here, these vultures exploited particularly susceptible drug abusers trying to recover their lives and dignity. Shameful abuse, no remorse. They better learn, and everyone should get the message. Cheaters. Never. Win," said U.S. Attorney Ellis Boyle.

Prosecutors said Keke Komeko Johnson, Francine Sims Super, Brandon Eugene Sims and Kimberly Mable Sims operated Life Touch and a related lab company, using gift cards to lure Medicaid patients into unnecessary treatment and drug screening services, then billing Medicaid for fraudulent claims.

Johnson and Super, who oversaw the kickback payments and falsified records to deceive auditors, were each sentenced to six years in prison. Kimberly Sims received two years, and Brandon Sims was sentenced to 30 months for failing to file federal tax returns and receiving millions in proceeds.