Thursday, January 28, 2010

Attorney General Health Care Fraud Summit Speech

The following is the opening speech delivered by U.S. Attorney General Eric Holder at the January 28, 2010 National Health Care Fraud Summit.

Washington, D.C. ~ Thursday, January 28, 2010
Good morning. I’m pleased to join Secretary Sebelius in welcoming you, and I thank you all for participating in today’s important discussion.

Let me also thank the National Institutes of Health for hosting us. It’s fitting that we’ve gathered at NIH, where some of our nation’s most innovative and collaborative thinking about health care is done. As we turn our attention to the problem of health care fraud – one of our most urgent, destructive, and widespread national challenges – we have an opportunity to build on the record of achievement that’s been established here.

Today’s summit marks a critical step forward in the work being done by HEAT, our Health Care Fraud Prevention and Enforcement Action Team. In establishing this task force last May, the Departments of Justice and Health and Human Services were inspired by common cause – and by common sense. We realized that we have a serious problem on our hands, and we decided it was time to redouble our efforts. We also recognized that the best way to strengthen our individual work is to combine forces and collaborate.

HEAT represents our shared commitment to combating health care fraud and, specifically, to protecting taxpayer dollars and our Medicare and Medicaid programs. But it’s more than just a partnership between our agencies. It’s evidence of this Administration’s commitment to fiscal responsibility and accountability. And, over the last eight months, it’s become proof that – with more effective communication and more efficient cooperation – we can make measurable, meaningful progress in the fight against health care fraud.

But we cannot do it alone. We need help from state and local leaders, and engagement from across the insurance industry and health care-provider community. There’s no question that our ability to protect taxpayer dollars, to ensure the viability of our government health care programs, and to strengthen our national health care system depends on our ability to expand the discussion beyond the federal government.

That’s what this summit is all about. Your presence here today is proof of a shared commitment aimed at identifying, punishing and preventing health care fraud. Secretary Sebelius and I are so grateful for your help in this joint effort. And we expect your insights and recommendations to help guide and enhance HEAT’s critical work.

So far, HEAT has fostered new opportunities for collaboration. It’s enhanced our ability to bring abuse to light and criminals to justice. And it’s enabled the recovery of stolen funds and the return of millions of dollars to the U.S. Treasury. Together, we must continue to build on these achievements.

As many of you know, last year brought record levels of achievement in our fight against health care fraud. In 2009, the Justice Department reached an all-time high in the number of health care fraud defendants charged, more than 800. We also obtained more than 580 convictions. And on the civil enforcement front, our health care fraud recoveries last year under the False Claims Act exceeded a stunning $2.2 billion dollars.

Many of these successes can be attributed to our Medicare Fraud Strike Forces, which are at the core of HEAT’s law enforcement mission. These strike forces supplement the enforcement activities of United States Attorneys’ Offices in select cities where unexplained, aberrant billing rates indicate that health care fraud may be especially high. By fostering increased cooperation and collaboration across our agencies, HEAT has enabled our strike forces to act with greater speed and efficiency to root out criminals who purport to operate as legitimate health care providers and suppliers.

Since HEAT was launched, our Medicare Fraud Strike Forces have been strengthened. In the last eight months, we’ve filed more than 60 cases. We’ve charged 200 offenders and secured more than 50 guilty pleas. And we’ve uncovered more than a quarter of a billion dollars in fraudulent billings.
I’m proud of this great work performed by our prosecutors, agents, analysts and investigators -- and by our partners at HHS. And I’m confident that we’re on the right path. That said, we cannot yet be satisfied. We cannot become complacent. And we cannot ignore the unfortunate fact that health care fraud remains a significant problem.

The scope of the problem is simply shocking. One estimate suggests that more than $60 billion in public and private health care spending is lost each year to health care fraud. That is a staggering amount of money. It’s half the entire economy of Secretary Sebelius’s home state of Kansas. It’s more than the net worth of America’s eight largest private foundations. And it’s 33 times the amount of money that Avatar – now the highest-earning movie of all time – has made at the box office.
It doesn’t matter whether you’re covered by Medicare or Medicaid, or by one of the many insurance companies that are victimized by fraud each year. Losses on this scale affect all of us. Fraud isn’t just a drain on the Medicare or Medicaid programs; it drives up the price that all Americans must pay for health care.

The enormity of the health care fraud problem is equaled only by the audacity of some of the fraud schemes that we are confronting. To take a recent example, last week, the Department of Justice settled False Claims Act allegations against a dental management company that was operating nearly 70 clinics across the country. These "Small Smiles Centers" served young children in predominately low-income areas. But instead of treating kids, this company was exploiting them to siphon millions of dollars from Medicaid. Many of these centers performed unnecessary and often painful dental procedures on unsuspecting, helpless children. In some cases, parents were told that healthy teeth needed to be removed. For putting profits above patient safety, this company will pay a $24 million fine, plus interest. And we are continuing to investigate the individual dentists who participated in this scheme.

In another recent case, the Justice Department secured a $10 million consent judgment against two former hospital executives in Los Angeles who scammed our Medicare system by preying upon homeless people. Through kickbacks and coercion, these fraudsters were turning homeless people into hospital patients. Until we caught up with them and shut them down, they were charging Medicare for treatments these patients didn’t receive, didn’t request or didn’t need.
These cases, and countless other successful civil and criminal enforcement actions just like them, are proof that our collaborative efforts are working. We are striking a blow against fraud schemes across the country and, in so doing, are sending a clear message that health care fraud will not be tolerated.
So where do we go from here?

First, we must strengthen HEAT. We will continue to combine and leverage our agencies’ resources and expertise, including the FBI and the Office of Inspector General at HHS, to prevent and prosecute fraud. HEAT will continue to work closely with local U.S. Attorneys Offices to pursue both civil and criminal cases. And in bringing these fraudsters to justice, we will use the power of the Internet and the media to inform the public and the health care industry about how to prevent future fraud schemes.
Second, we’ll continue to support our Medicare Fraud Strike Forces and work to expand these teams to areas of the country where our efforts are most needed. These teams have changed the enforcement landscape. They’ve also demonstrated that, in the area of health care fraud, we must continue to think outside the box and pursue innovative investigative and prosecutorial strategies.

Third, we will continue to push for the investments necessary to meet our duties and do our jobs. I’m pleased that Congress and the Administration have provided strong support. In FY2010, the Administration’s fraud-fighting budget will increase from nearly $200 million to more than $300 million. This may seem like a lot of money – and it is. But I assure you that it’s a sound and prudent investment. For every dollar we spend combating health care fraud, we’re able to return four dollars to the U.S. Treasury and the American taxpayers.

Fourth, our agencies will continue to work with Congress to identify and pursue the legislative and regulatory reforms necessary to prevent, deter and prosecute health care fraud. These reforms range from removing barriers that impede information-sharing to increasing sanctions and penalties.
Finally, t he department will continue to engage the private sector in our anti-fraud efforts. We’ll seek out guidance from representatives of the insurance industry and in the health care-provider community, many of whom are here with us today. We know that the vast majority of those who work in the health care industry are honest people who want to help patients and follow the law. But we also know that a few bad actors have created an industry-wide problem. You all have a critical role to play in helping us to encourage good behavior, bring waste and abuse to light, and hold criminals accountable.
So long as health care fraud pays and these crimes go unpunished, our health care system will remain under siege. These crimes harm all of us – government agencies and programs, industries and individuals. But, through HEAT and with your support, we are fighting back. We welcome and need your help in this shared enterprise.

Your presence here today gives me great hope about our prospects for progress. I’m optimistic about what we can accomplish together, and I look forward to working with you all.

Thank you.

National Medicaid Fraud in Child Welfare Summit

This has been on my agenda for years.

It has been on the Presidential agenda for years.

Now, it is on the national agenda.

Thursday, January 28, 2010

Contact: HHS Press Office: (202) 690-6343
DOJ Press Office: (202) 514-2007

Health & Human Services Secretary Kathleen Sebelius, Attorney General Eric Holder Convene National Summit on Health Care Fraud, Unveil Historic Commitment to Fighting Fraud in President’s FY 2011 Budget

Summit Brings Private and Public Sectors, Law Enforcement Together to Fight Fraud 
U.S. Department of Health and Human Services Secretary Kathleen Sebelius and Attorney General Eric Holder today joined private sector leaders, law enforcement personnel and health care experts for a landmark National Summit on Health Care Fraud. The summit is the first national gathering on health care fraud between law enforcement and the private and public sectors and is part of the Obama Administration’s coordinated effort to fight health care fraud.

“The Obama Administration has zero tolerance for health care fraud and abuse,” said Secretary Sebelius. “Building on the work we have accomplished through HEAT (the Health Care Fraud Prevention & Enforcement Action Team), I am pleased to announce here at the National Summit on Health Care Fraud that the President’s FY 2011 Budget being unveiled next week will include historic support for anti-fraud efforts that will save billions over 10 years. He will call for increased investments in programs that have a proven record of preventing fraud, reducing payment errors and returning funds to the Trust Funds.”

“Health care fraud affects all Americans and demands a coordinated, national response,” said Attorney General Holder. “HEAT has proven that better collaboration is the key to combating these crimes, recovering stolen resources, and protecting essential Medicare and Medicaid dollars.  We welcome the private sector’s participation in this work – together, I’m confident we can make great strides in identifying, preventing, and punishing health care fraud.”

The National Summit features discussions of innovative ways to eliminate fraud and abuse in the U.S. health care system. The morning program includes remarks from Secretary Sebelius, Attorney General Holder, Congressman Ron Klein and James Roosevelt Jr. CEO of Tufts Health Care, who will address the important role of the private sector in fighting fraud. Later, officials from the Departments of Health and Human Services and Justice will participate in a panel discussion about methods being used to prevent and crack down on health care fraud.
In the afternoon, workgroups will focus on the:
  • Use of technology to prevent and detect health care fraud and improper payments.
  • Role of states in preventing health care fraud.
  • Development of effective prevention policies and methods for insurers, providers and beneficiaries.
  • Effective law enforcement strategies.
  • Measuring health care fraud, assessing recoveries and determining resource needs.
Summaries of the workgroup discussions will be compiled in a publicly available report that will help strengthen the federal government and private sector’s work to deter health care fraud.

“Health care fraud isn’t just a government problem. Criminals don’t discriminate and they are stealing from Medicare, Medicaid and private companies at an unacceptable rate,” said Sebelius. “We have a shared interest in stopping these crimes and today’s summit brought us together to discuss how we can all work together to fight fraud.”

The National Summit is the latest initiative of HEAT, which was announced by Attorney General Holder and Secretary Sebelius in May 2009. The partnership between the two departments has focused efforts to reduce and prevent Medicare and Medicaid fraud through enhanced cooperation. Expansion of the Medicare Fraud Strike Force operations is a key component of the HEAT taskforce. Strike Force Teams initially began in Miami in 2007 and expanded to Los Angeles in 2008.  Since the formation of HEAT,  the Strike Force has expanded to Detroit; Houston; Brooklyn, N.Y.; Baton Rouge, La. and Tampa, Fla..<=Major Child Welfare Fraud States.

To date, Strike Force Teams have obtained indictments of more than 500 individuals and organizations that collectively have falsely billed the Medicare program for more than one billion dollars.
For more information on the National Summit, visit

For more information about the Summit, contact View the Summit Opening Plenary Session live on January 28, 2010 from 9:30 a.m. to 12:00 p.m. ET and the Closing Plenary Remarks from 3:00 to 4 p.m. ET via Webcast at

Child Welfare fraud will end, and it will be done by the people, for the children. If you suspect fraud in child welfare, report it.

Wednesday, January 27, 2010

In the name of the U.S. and us: stop fraud now

Now that all the excitement in the child welfare reform movement has died down, it's my time to step in.

The Law Project for Psychiatric Rights (PsychRights®) announced the unsealing of a major Medicaid Fraud lawsuit against psychiatrists, their employers, pharmacies, state officials, and a medical education and publishing company for their roles in submitting fraudulent claims to Medicaid.


So why do I have the authority to analyze Jim Gottstein's actions? Well, because I have been there, done that and bought the rhinestone t-shirt.

Interestingly, Gottstein brought the suit as a corporate individual PsychRights®, but did not clarify the authority of PsychRights® nor its standing to bring forth the action. As a corporate individual, does he meet the criteria as an original source? I doubt it because it was never addressed in the original complaint.

PsychRights®, owned and represented by Gottstein, did not submit any proofs, which, normally, would get him kicked right out when the defendants file their motion to dismiss for failure to state a claim, which the complaint fails.

Just because the case was unsealed does not mean the case will proceed, as we do not know if there were any other filing or pending motions before the court.

The U.S. government failure to intervene in the matter is not a serious issue, as it preserves the right, at any time to intervene. It is best, at times for the government to not intervene, giving the relator, the person who is the whistleblower, grounds for the highest level of percentage of the bounty, being 30%. The more the feds step in and intervene, the lower the percentage ratio.

I am betting the feds did not intervene for possibly two reasons:

(1)PsychRights® has no legal standing as an original source, even beyond the open and obvious issue of self-representation;

(2)The feds are currently learning how to approach the issues of Medicaid fraud in child welfare. I know DHHS OIG is only beginning to identify and understand the fraud schemes in child welfare, (the purpose of this blog) but it is still in the initial phases. The federal government is a slow yet deliberate process of handling matters. The purpose being, once they do anything, it will be done effectively. Currently, there is the federal task force of H.E.A.T., the joint partnership with DOJ and DHHS OIG developing its tasks forces to attack Medicaid fraud in child welfare. They will approach from a different angle, leaving a stronger punishment by deterrence message upon the public.

Fraud detection and prevention in health care (Medicaid, Medicare, Tricare, Children's Health Insurance Program) is an industry that has the potential to create a massive number of jobs. The push in the direction of informational technology will only enhance the ancient mechanism called the writ of qui tam.

Qui tam pro domino rege quam pro se ipso in hac parte sequitur


"[he] who sues in this matter for the king as [well as] for himself."

Actions such as this benefits all of us, all taxpayers as it is taxpayer monies that are being taken, threatening our economic security, which is our national treasure. The feds cannot be everywhere at all times, contrary to most beliefs; the feds rely upon us, the taxpayer to communicate and to blow the whistle when we know of fraud schemes. The qui tam was created within the platform of the Magna Carta to do just that. President Lincoln reanimated this ancient writ, as well as a few others like habeus corpus, to fight the war within the Civil war, and that was the war on businesses defrauding the federal government. It was called the False Claims Act.

The only setback to the qui tam is the language of the False Claims Act statute, which has been ambiguously interpreted by the Supreme Court to make it impossible for an individual to bring an action without an attorney.

PsychRights® and Gottstien have once again pushed this envelope back in the face of the judicial community.

Just as we had in the financial industry with the likes of the ponzi scheme, there are similar, yet far more intricate fraud schemes in child welfare. Child welfare is an industry that has never been regulated as there is no transparency nor accountability. The con artists in child welfare are far more sophisticated when it comes to public awareness campaigns of abuse and neglect, and the subsequent fundraisers.

It takes individuals such as Gottstein and his non-profit PsychRights® to remind the people that we are the ones who possess the power of government, and can call it in at any time through the extraordinary writs.

I wish him, PsychRights®, the Department of Justice and the Department of Health and Human Services the best of luck in their fight to end Medicaid fraud in child welfare.

Tuesday, January 26, 2010

Massive Child Welfare Medicaid Fraud Lawsuit Unsealed

I told you so!


CONTACT Jim Gottstein

Massive Medicaid Fraud Lawsuit Unsealed

The Law Project for Psychiatric Rights (PsychRights®) announces the unsealing today of a major Medicaid Fraud lawsuit against psychiatrists, their employers, pharmacies, state officials, and a medical education and publishing company for their roles in submitting fraudulent claims to Medicaid. The defendants are:

* Osamu H. Matsutani, M.D.
* William Hogan, Commissioner Of the Alaska Department Of Health And Social Services
* Tammy Sandoval, Director Of The Alaska Office Of Children's, Services
* Steve McComb, Director Of The Alaska Division Of Juvenile Justice
* William Streur, Director Of The Alaska Division Of Health Care Services
* Juneau Youth Services, Inc.
* Providence Health & Services,
* Elizabeth Baisi, M.D.
* Ruth Dukoff, M.D.
* Charter North Star Behavioral Health System
* Kerry Ozer, M.D.
* Claudia Phillips, M.D.
* Southcentral Foundation
* Sheila Clark, M.D.
* Hugh Starks, M.D.
* Lina Judith Bautista, M.D.
* Heidi F. Lopez-Coonjohn, M.D.
* Robert D. Schults, M.D.
* Mark H. Stauffer, M.D.
* Ronald A. Martino, M.D.
* Irvin Rothrock, M.D.
* Jan Kiele, M.D.
* Alternatives Community Mental Health Services, D/B/A Denali Family Services
* Anchorage Community Mental Health Services
* Lucy Curtis, M.D.
* Fairbanks Psychiatric And Neurologic Clinic, Pc
* Peninsula Community Health Services Of Alaska, Inc.
* Bartlett Regional Hospital Foundation, Inc.
* Thomson Reuters (Healthcare), Inc.
* Wal-Mart Stores, Inc.
* Safeway, Inc.
* Fred Meyer Stores, Inc.

Law Project for Psychiatric Rights v. Matsutani, et al., United States District Court, District of Alaska, Case No. 3:09-cv-0080-TMB.

The lawsuit, which was filed on April 27, 2009, and required to be kept under seal (secret) until now, is brought under the federal False Claims Act, which authorizes private parties to bring fraud actions on behalf of the Government. These cases are also called "whistleblower suits" or "qui tam," actions, and those who file them are entitled to a share in the recovery, if any. Each offending prescription carries a minimum penalty of $5,500.

The Complaint walks through the lack of science supporting the practice and the methods used by the pharmaceutical industry to induce psychiatrists to improperly prescribe these drugs. "Even though the drug companies have been using these methods to induce psychiatrists to prescribe these drugs, it is the psychiatrists' responsibility to base their decisions on the facts, not drug company marketing," said Mr. Gottstein, continuing, "the uncritical acceptance of pharmaceutical company hype represents a massive betrayal of trust by the psychiatrists prescribing these drugs to children and youth."

PsychRights has also developed a streamlined model Qui Tam Complaint for use around the country. See, PsychRights Launches Campaign Against Medicaid Fraud With Model Lawsuit, July 27, 2009. The model Qui Tam Complaint is drafted for former foster youth to bring the lawsuits and receive the whistleblower's share of the recovery, but anyone with knowledge of specific offending prescriptions, such as parents and mental health workers, can bring these suits.

Last fall, Mr. Gottstein gave talks at two national conferences, the National Association for Rights Protection and Advocacy (NARPA), and the International Center for the Study of Psychiatry and Psychology (ICSPP), where he presented on how to bring and conduct these cases. Mr. Gottstein is also giving a presentation in New York City, February 2nd following oral argument in Lilly v. Gottstein.

Mr. Gottstein indicates a number of these cases are percolating around the country. In one that is not as far along as some others, Ted Chabasinski, a Berkeley, California, lawyer, is seeking a former foster youth as a client to bring such a lawsuit in the Bay Area. Any former foster youth in the Bay Area who was given psychiatric drugs within the last 6 years can call Mr. Chabasinski at (510) 843-6372 to talk to him about bringing such a case. "Foster children are singled out for psychiatric drugging because they and their foster parents have almost no legal protections and no way they can refuse these damaging drugs," says Mr. Chabasinski, who as a foster child, was electroshocked at the age of six as part of an experiment involving hundreds of foster children.

While PsychRights and Mr. Chabasinski are not bringing these cases for the money, such cases represent a tremendous financial opportunity for attorneys to do well by doing good.

"These are about as open and shut as cases can get," said Mr. Gottstein, "it is Medicaid fraud to cause or submit prescriptions to Medicaid for reimbursement if they are not for a medically accepted indication. End of story." PsychRights has developed a Medically Accepted Indications Chart showing what is allowable for common psychiatric drugs. Every other use of these drugs in children and youth and submitted to Medicaid is fraudulent. PsychRights conservatively estimates that at least half of psychotropic drug prescriptions to children and youth submitted to Medicaid are not for medically accepted indications and therefore fraudulent.

The Law Project for Psychiatric Rights is a public interest law firm devoted to the defense of people facing the horrors of forced psychiatric drugging and electroshock. PsychRights is further dedicated to exposing the truth about psychiatric interventions and the courts being misled into ordering people subjected to these brain and body damaging drugs against their will. Extensive information about these dangers, and about the tragic damage caused by electroshock, is available on the PsychRights web site:

# # #

Alaska Psychiatric Rights Unseald Qui Tam

Jim Gottstein, I bow in honor of your strength and tenacity to stop Medicaid fraud in child welfare. I only pray you set of a national trend of False Claims Act filings.

Anyone interested in learning more about these types of extraordinary writs, feel free to contact me.

Beverly Tran
An Original Source

Sunday, January 24, 2010

There Was No Nebraska Compromise

I am going to put this out there.

There was a lot of hoopla about a thing called the "Nebraska Compromise".

What basically happened is Nebraska Senator Ben Nelson got the federal government to pick up a 100% portion of Medicaid to vote on the health care bill.

Some are calling it unconstitutional, some are accusing Senator Nelson of selling the other states down the proverbial river.

I am calling it legitimate.  Here is why:

If one takes the time to look at the concept of "pilot programs"  one would see why they are called "pilot".  A pilot program is when a program is launched in specific geographic regions, monitored and then evaluated for full implementation and absolute diffusion.

What we have is Nebraska being one of the regions being selected to pilot 100% funding coverage the entire state's Medicaid program.  There are other states also selected to receive Medicaid increases in federal funding portions.

What we have here, ladies and gentlemen, is your classic program evaluation research.

Now, let us examine the sampling methodologies.

States that seem to have adopted the agenda to certify electronic health records and maintain electronic databases seem to be the ones who were selected to be treated with the increased FFPs. When a state is data-rich, then highly reliable evaluations may be executed, replicated and generalized to produce the most beneficial programs and policies, in compliance with the provisions of the Sarbanes-Oxley Act of 2002 and the Federal Financial Management Improvement Act of 1996, the tools for audits.

OMB Memorandum on Federal Financial Portion of Medicaid

Nebraska has one of the broadest coverage of data, being inclusive of all Medicaid operations.

Massachusetts is research-orientated focusing on information accessibility.

Vermont has established a public Health IT Fund to monitor procurement and purchasing, and to fund progressive home medical project.

Louisiana has adopted an aggressive campaign to end Medicaid and Medicare fraud.

Now, we have Attorneys General of Michigan, South Carolina, Washington, Texas, Colorado, North Dakota, Alabama, Virginia, Pennsylvania, Utah, Florida, Idaho, and North Dakota throwing constitutional temper tantrums. This is not the first time these states have fallen to the floor in public, snotty screaming, that it would be impossible to be compliant in the areas of Medicaid funding.

It needs to be noted that the States Attorney General are in charge of its Medicaid Fraud Control Unit. The aforementioned state Units are extremely weak and breathtakingly ineffective.

Well, if these states were not the worst when it comes to Medicaid fraud, mainly in child welfare, they would have had a viable chance to get into this evaluation pool. Nebraska is trying to clean up its act, and so can the rest of the States.

CMS Guidance to Electronic Health Records

Senator Ben Nelson and all the other Senators, congratulations for standing strong on the battlefront to end Medicaid fraud in child welfare, Medicaid and Medicare fraud, and all other forms of health care fraud, waste and abuse.

Thursday, January 21, 2010

Michigan Senate Resolution Ends Medicaid Fraud


A concurrent resolution to memorialize the President, the Congress, and the Secretary of the Department of Health and Human Services to enhance provisions of the final version of federal health care reform legislation that would reinstate Medicaid regulations and mandate the Medicaid Fraud Control Unit to aggressively prosecute and recover funds of Medicaid Fraud in Child Welfare;

Whereas, Michigan, along with the other States, has a horribly ineffective Medicaid Fraud Control Unit in the Office of Attorney General and does absolutely nothing in contractual debarment, license revocation, or any other form of prosecution of Medicaid fraud in child welfare, regulation would mandate the Unit to aggressively prosecute and recover federal and state funds to reduce the budget deficit;

Whereas, the national Federal Funding Percentage (FFP) of Medicaid is 75%, Michigan is currently at the bottom of the barrel at 50%, lifting the moritoria on Medicaid regulation would place Michigan in a position of compliance, resulting in an increase in the FFP;
Whereas, the Auditor General has documented, through limited information, over $1 billion in known and likely know questionable costs in child welfare services last year, mandating Medicaid regulation would prevent the $1 billion to $1.5 billion shortfall in General Fund dollars for fiscal year 2011;
Whereas, the State Medicaid Director continues to implement policies to authorize payment of fraudulent claims in child welfare, federally mandated Medicaid regulation would allow more individuals to become eligible for Medicaid coverage and prevent the children from entering the foster care system as many will be able to access medical resource; and,

Whereas, the practice of double-billing, treble-billing, phantom-billing, kiddy kickbacks, and defalcation will be ameliorated by the conformation to basic standards of ethics and administration through innovative policies of accountability and transparency by Michigan and the other States; now, therefore be it

Resolved by the Senate (the House of Representatives concurring), That we memorialize the President, the Congress, and the Secretary of the Department of Health and Human Services to provide that federal health care reforms, including the federal Patient Protection and Affordable Care Act (H.R. 3590) and the Affordable Health Care for America Act (H.R. 3962), impose regulatory mandates on Michigan and other states, whether through expanded Medicaid requirements or other mandates to end Medicaid fraud; and be it further
Resolved, That copies of this resolution be transmitted to the Office of the President of the United States, the President of the United States Senate, the Speaker of the United States House of Representatives, the members of the Michigan congressional delegation, and the Secretary of the Department of Health and Human Services.

Michigan,stop playing games and end Medicaid fraud!

Californian Defalcation Factor

Financial Difficulties Strain California’s Foster Care System
January 14, 2010
By Gerri Shih

It seems the New York Times has, once again, published a one-sided article on the financial woes of California's foster care system.

In a tale all too familiar in cash-strapped California, the foster care system has been coming apart from inadequate state financing for at least 20 years, officials at the county level say. In the past two months, a succession of key court decisions in favor of care providers lifted hopes that the judicial rulings might finally turn things around, but the lawsuits have simultaneously shed light on a system that has been cut to the bone.

The reason why California's foster care system is broke is very simple: FRAUD.

California is unique in its fiscal operations of child welfare fraud because of the defalcation factor. Administrators are financially benefiting from the funds. Beyond the traditional improper and unnecessary removals of children, and even further beyond placing children in the system for lack of medical resources, is your blatant "stuff-your-pockets" fraud.

California, just like every other state, has a Medicaid Fraud Control Unit and it does nothing to stop Medicaid fraud in foster care.

California's child welfare fraud operations are so efficient, they were approved for SSA Title IV-E waivers.

California has been known for allowing children to linger in the foster care system, for no apparent reason except for lining pockets with Medicaid and SSA Title IV funds. Keeping on its current track of slashing community and social resources, the only place left to turn to for basic assistance is the foster care system. This means there are children and parents needlessly processed in the system.

Unless California wakes up, it will implode by its own design. Child placing agencies will continue to strip the communities of its impoverished children with expensive marketing campaigns, Child placing agencies will generate horrifyingly false statistics and the State Medicaid Fraud Control Unit will see no evil, hear no evil, say no evil, in fear of the pending implosion.

The following federal audit is for only one county. Imagine what an audit of the entire state would look like.

California Title IVE Audit 2009

Everyone, pass this message on to Arnie:

Go make your Attorney General Jerry Brown and find a way of getting your Auditor General Ron Diedrich to stop Medicaid fraud in child welfare.

Tuesday, January 19, 2010

Michigan Database Begins To Grow

The necessity of this central database was a result of the aberrant billing practices of the contractual arms of DHS and its county departmental level providers.

There has never been oversight of any of the operations within the state child welfare system as SCAO has demonstrated, in multiple Auditor General reports, that fraud is a standard in its activities.

This is the first time the state will begin warehousing credible data, as it has been well documented, even on county levels with its own Auditor General reports, that false billing and fraudulent documentation has allowed Medicaid fraud in child welfare to flourish. Collaboration needs to include the Department of Community Health, as the Director is the State Medicaid Director.

The final missing component to the construction of this database is for the legislature to mandate that any suspicion or substantiation of violation of federal or state law be immediately reported to the attorney general for prosecution and recovery. As it currently stands, the state's Medicaid Fraud Control Unit does nothing in the realms of acknowledging Medicaid fraud in child welfare.

An effort of this magnitude will be for naught if there is not included, a regulation mechanism, and that is reporting to the Attorney General. Recoveries of funds and efficiency of operations can now exist through contractual debarments, sanctions, license revocation, and fines.

Most importantly, there needs to be more transparency and accountability in the ability of consumers and whistleblowers to report questionable billing activities to the Attorney General Medicaid Fraud Control Unit, further allowing the Attorney General and the Auditor General to investigate double-billing, false claims, kiddy kickbacks, Stark law violations, and other forms of fraud, waste and abuse.

Ingenex needs to be under statutory control to report quarterly all activities.

Michigan is embarking on a groundbreaking initiative, but this may only be successful if all agencies are involved: Auditor General, Attorney General, Department of Community Health, Department of Human Services, SCAO. If not, then it shall be business as usual, meaning the state will continue its downward spiral of fiscal integrity, all done in the best interest of the child.

Michigan turns to data warehousing to improve child services

January 19, 2010
by Jeffery Smith

The state of Michigan recently announced the expansion of a pilot program, using data warehousing and analytics to develop performance measurements for children enrolled in protection services. Both the State Court Administrative Office (SCAO) and the Michigan Department of Human Services (MDHS) are using Ingenix technology to improve children’s safety, health and living situation stability.

First developed in 1994, Michigan was the first state in the nation to use data warehousing technology to monitor Medicaid quality of care, fraud, abuse and overpayment. For the last year, a pilot project launched in Genesee, Saginaw and Livingston counties have completed nine of 62 performance measurements to improve child welfare.

“Our goal is to do a better job protecting the children in our care, who may be in an abusive or neglectful environment, by measuring our performance and prioritizing the areas that need improvement most,” State Court Administrator Carl Gromek said in a statement.

As the administrative arm of the Michigan Supreme Court, SCAO is charged with collecting data on courts’ caseloads, including case history and type. SCAO is also in charge of child welfare oversight when the courts make a decision and they can act as advisor to the court when children are or may become court wards.

For the current project, SCAO teamed with MDHS in order to share information accumulated by each agency to protect children, DHS Director Ismael Ahmed said. “We’re pleased to work with SCAO on this ambitious effort. It’s an excellent example of working not only across agencies, but across branches of government, to achieve a worthwhile goal – in this case, doing everything we can to protect children,” he said.

MDHS has over 16,000 children currently receiving foster care, residential or adoptive placement services. And last year, more than 124,000 complaints of child abuse and neglect were filed with DHS. In addition to MDHS and SCAO, the Michigan Department of Community Health (MDCH) has expanded the data warehouse to include information from the state’s largest programs.

Ingenix is providing the informational and analytical backbone for the project, which seeks to monitor performance and case management in five areas: Safety, Permanency, Due Process, Timeliness and Well-being. more

Michigan, this is only the beginning. Thank you for finally listening.

Saturday, January 16, 2010

North Carolina Begins the End of Child Welfare Fraud

It looks like we have the beginnings of federal action to end Medicaid fraud in child welfare.

Owner of Fayetteville childcare centers pleads guilty to fraud

The owner of a chain of Fayetteville childcare centers pleaded guilty Friday to bilking money from government programs.

Sandra Elliot, 47, pleaded guilty before U.S. District Judge Terrence W. Boyle to federal charges of health care fraud and aiding and abetting, according to U.S. Attorney George E.B. Holding's office.

Elliot was charged in December after a joint federal and state investigation into Learning Links Educational Network Services Center Inc., which Elliot opened in 2006.
According to a news release, Learning Links claimed to provide early intervention treatment for children with developmental delays or anger management problems.
The company, which eventually operated three locations in Fayetteville, one in Dunn and had plans to open others, also claimed to provide tutoring for children enrolled at the center.

To pay for the services, Learning Links primarily billed and received payments from Medicaid and Tricare, both of which are government-run benefit programs.
Although the exact amount of money fraudulently received still is being calculated, the release said, Elliot stipulated that the fraud exceeded $1million and forfeited two automobiles, a recreational vehicle and $201,791.

A sentencing date has not been announced. Elliot could face as many as 10 years in federal prison followed by three years of supervised release and a fine of $250,000.
The case was investigated by the Defense Criminal Investigative Service, the North Carolina Department of Justice Medicaid Fraud Investigations Unit, the Tricare Program Integrity Office and the Health Net Federal Services Office of Program Integrity.

A search of Learning Links locations in 2009 allowed law enforcement to confirm that the centers employed non-licensed personnel, provided unwarranted therapy and billed for services not rendered, according to the release.

Investigators said that in some instances, children who allegedly received the services weren't even in the state on the billed date of service.
In other instances, the company billed for services to children several months after the children stopped treatment, and practitioners no longer working for the company still were being listed as the provider of services.

In a 2007 interview with The Fayetteville Observer, Elliot said she had taught in inner-city schools in Washington, D.C., for 12 years. Later, she taught in North Carolina schools and worked in special education programs in Wake, Cumberland and Durham counties, she said.

Tricare is the military equivalent to Medicaid and Medicare.

Thank you North Carolina and U.S. Attorney Office for officially kicking off the national campaign to end Medicaid fraud in child welfare!

Roy Cooper, I love you!

Friday, January 15, 2010

Senator Hansen Clarke Will Not Be Running For Governor

 This is a message from Senator Hansen Clarke:

"Hansen Clarke will not be a candidate for governor in 2010. I will continue my work on cutting insurance costs, creating and saving jobs, helping families, and generating sustainable economic growth. I deeply appreciate your support! Thank you."

And we thank you for all you do!

Missouri's Maintenance Misery

Fox 2 Missouri published a piece on Missouri Department of Social Services and its recent national accreditation.

Mo. children's agency completes accreditation ordered after boy 's death in 2002

By Associated Press

9:23 AM CST, January 14, 2010
JEFFERSON CITY, Mo. (AP) — Missouri officials that handle child abuse and foster care have received national accreditation.

The Social Services Department spent five years and nearly $20 million to get its Children's Division accredited.

Lawmakers ordered the agency to get national accreditation after 2-year-old Dominic James of Springfield died three months after state caseworkers removed him from his parents' home. His foster parent was sentenced to 15 years in prison for assault and abuse that resulted in the child's death.

The boy's death also prompted the division to be reorganized and several officials to resign.

The St. Louis Post-Dispatch reported that the Missouri officials planned to announce the accreditation on Thursday. Missouri is only one of six states to have the entire Children's Division accredited.


Information from: St. Louis Post-Dispatch,


Missouri lawmakers ordered the Missouri Social Services Department to get national accreditation to the tune of $20 million dollars, but here is the story behind that.

On August 19, 2009, the U.S. Department of Health and Human Services conducted a Review of these claims for training and found that:

"None of the $10,224,397 ($7,668,298 Federal share) in Title IV-E training costs that the State agency allocated from the cost pool from July 1,2002, through June 30, 2006, was allowable for 1, 2002, Federal reimbursement at the enhanced 75-percent FFP rate. the $7,668,298 Federal share, Of Federal reimbursement at the enhanced 75-percent FFP rate. Of $2,556,099 was not allowable because the cost pool did not consist entirely of allowable training costs reimbursable at the enhanced rate."

TRANSLATION: Missouri committed fraud to become accredited to commit more fraud.

Review of the Missouri Department of Social Services Claims for Title IV-E Training Costs, 2009

 The main question that needs to be asked is, "Who the @$%^ gave Missouri accreditation after this review?"  Well, it was our little friends over at the Council On Accreditation (COA).

Here is a quick and dirty overview of the crap that goes on with accreditation in child welfare:

U.S. DHHS asks the National Federation for Credit Counseling (NFCC) to choose a national accreditation organization for the federally funded child placing agencies.

The NFCC picked the Council on Accreditation (CoA) to make sure all the federally funded child placing agencies are in compliance with Generally Accepted Accounting Principles (GAAP).

Then, the CoA picks, with the help of the Child Welfare League of America a state accreditation organization to make sure all the child placing agencies are operating within ISO ethical standards.

So, this is how a public child placing agency gets accredited: Someone writes a check.

Then, the best part of the accreditation process is, the Self Report. With federal funds, the federally funded child welfare organization submits these self reports on federally funded activities to the federally funded CoA. These reports are not open to the public.

Then the CoA has, as one final stipulation for accreditation. It is called the Maintenance of Accreditation. All you have to do is check a few boxes and send it in, of course with your annual fee. Obviously, this honor system is not going very well.

Former U.S. Attorney General Michael B. Mukasey, a very beautiful man who listened to me, stood up and announced that States revenue-maximization schemes were identified and the malfeasance within the U.S. Administration for Children and Families. He made it the number three priority for the Department of Justice for FY2009. I consider that moment a pivotal point in the history of child welfare and he will be honored, in my eyes, of similar caliber to Abraham Lincoln and Dr. Martin Luther King, Jr.

Medicaid fraud, along with other forms of fraud, waste and abuse in child welfare must be stopped.  If you suspect fraud in child welfare, report it to the U.S. DHHS OIG.

Wednesday, January 13, 2010

Michigan Adopts Transparency and Accountability

It is always easy to stand up and complain, but it is more honorable to create and present solutions. Michigan has stood up to take a leadership role in transparency and accountability in child welfare through information technology.

This pilot program is only the first step, breaking grounds to erect a national edifice to end fraud, waste and abuse in child welfare.

I cannot hail the work of the Michigan State Court Administrative Offices, Department of Human Services, and Department of Community Health enough on this initiative.

This centralized database has so many future implications and applications, the most important being the dismantling of the archaic Michigan Children's Institute, because I am sure the Superintendent would not grant the state consent to this adoption. Let's come together as a nation and help Michigan raise its two newly adopted children, Transparency and Accountability.

Congratulations, Michigan, Welcome to the 21st Century! Bravissimo!! And thank you, Ingenix!!!

Michigan State Government Uses Technology to Enhance Child Protection Services

Two branches of Michigan state government are sharing information and using advanced analytics to better protect and care for children in a program slated to expand this year.
The State Court Administrative Office (SCAO) and the Michigan Department of Human Services (MDHS) have piloted a program in Genesee, Saginaw and Livingston counties aimed at measuring and improving performance and accountability in cases involving child abuse, neglect, foster care, adoption, and legal guardianship among the 16,000 children enrolled in child welfare services in Michigan. The program will expand to include additional performance measures this year.
The goal is to improve children’s safety, health and living situation stability – known as “permanency” – and to improve compliance with due process and timeliness in the court’s disposition of cases.
Both agencies are working in partnership with Ingenix, a leading health information, technology and consulting company, which is developing the analytics and performance measurements for the program. SCAO and MDHS data are included in Michigan’s statewide data warehouse – one of the most comprehensive in the nation – which serves as the informational and analytical backbone for the project.
“This collaboration with MDHS and the use of advanced technologies will help us achieve our ultimate goal of improving the lives of Michigan’s children,” said State Court Administrator Carl Gromek. “Our goal is to do a better job protecting the children in our care, who may be in an abusive or neglectful environment, by measuring our performance and prioritizing the areas that need improvement most.”
“We’re pleased to work with SCAO on this ambitious effort,” said DHS Director Ismael Ahmed. “It’s an excellent example of working not only across agencies, but across branches of government, to achieve a worthwhile goal – in this case, doing everything we can to protect children.”
The specific performance measurements, 62 in all, are based on recommendations in a white paper titled Building a Better Court: Measuring and Improving Court Performance and Judicial Workload in Child Abuse and Neglect Cases, published jointly by the American Bar Association’s Center of Children and the Law, the National Center for State Courts, and the National Council of Juvenile and Family Court Judges.
The measurements are divided into five areas:
  • Safety: To ensure that children are safe from abuse and neglect while under court jurisdiction
  • Permanency: To ensure that children have stability and permanency in their living situations
  • Due Process: To ensure that cases are dealt with impartially and based on evidence before the court
  • Timeliness: To enhance the “expedition to permanency” by minimizing the time from filing of the petition to take jurisdiction over the child to permanency
  • Well-being: To examine and address factors other than safety and permanency that relate to a child’s future welfare. There are specific measures within this area that focus on physical health, mental health, and special education needs.
The Michigan program has been in the pilot stage for the past year. So far nine of the 62 measures for Genesee, Saginaw and Livingston counties have been completed. The nine measures, compiled from data already stored on the data warehouse, will be expanded during 2010. SCAO’s Child Welfare Services (CWS) division was awarded a federal Court Improvement Program (CIP) grant to help fund the project.
Measurements in the five areas provide officials with the opportunity to improve performance in very specific ways. For example, the “Timeliness” category measurements include: “Number of days from initial petition to adjudication” of court cases, and “number of hours from initial complaint intake to the commencement of the investigation.” The “Permanency” measurements include: “number of placement changes each child has had during each foster care episode;” and “number of children who are dismissed from court jurisdiction at age 18 and over and have two or more of the following within 6 months of emancipation,” with the choices that follow including high school diploma/GED, steady employment, housing, entering college or trade-school, and several others. “Well-being” measurements include “percentage of cases where children are placed together” and “percentage of children with identified health needs receiving services to address the need.”
The program is already delivering results. For example, from late 2008 through August of 2009, the State increased family reunifications 34 percent among temporary court wards (TCW). This is a group of children who were identified in a Michigan children’s rights lawsuit as having remained in the system for one year or longer. By combining the “timeliness” and “permanency” measures, the State can identify and work on reuniting children with their families, thereby bringing them to a more permanent living situation faster.
“Michigan has once again shown its national leadership by using advanced technologies to address pressing societal issues – in this case, the protection of children,” said Shelby Solomon, executive vice president, commercial and government health plan solutions at Ingenix. “We are pleased to be part of this breakthrough initiative that facilitates collaboration between two branches of Michigan’s government to conduct the analysis necessary to improve the well-being of these children.”
Michigan began its work with Ingenix in 1994 with the creation of the nation’s first Medicaid data warehouse to monitor claims for quality of care, overpayment and fraud/abuse. Since then, Ingenix and Michigan have worked closely to expand the data warehouse to include information from most of the state’s largest programs, agencies and departments, including SCAO, MDHS, and the State’s Department of Community Health (MDCH).
About Michigan SCAO
The Michigan State Court Administrative Office (SCAO) is the administrative agency of the Michigan Supreme Court, charged with helping the trial courts operate effectively so that they can better serve the public. Among its many responsibilities are: collecting data on courts’ caseloads, including the types of cases each court hears and how long it takes to resolve cases; and overseeing courts’ involvement in various child welfare issues, and offering ways to improve courts’ handling of cases involving children who are or may become court wards.
About Michigan DHS
The Department of Human (DHS) is Michigan's public assistance, child and family welfare agency. DHS directs the operations of child protection, child welfare, public assistance and service programs through a network of over 100 county Department of Human Services offices around the state. Last year, DHS fielded more than 124,000 complaints of child abuse or neglect, and currently serves more than 16,000 children in foster care, residential, or adoptive placement.
About Ingenix
Ingenix, a UnitedHealth Group (NYSE: UNH [FREE Stock Trend Analysis]) company, is a leading provider of health information, technologies and consulting services. Organizations, institutions, businesses and government agencies that comprise the health care system depend on Ingenix solutions and insights to improve their performance. Visit for more information.

Michigan State Court Administrative Office (SCAO)
Marcia McBrien, 517-373-0129
Public Information Officer
Michigan Department of Human Services (DHS)
Edward Woods III, 517-373-7394
Director of Communications
Steve Puleo, 978-294-6418
Corporate Communications

Stop Medicaid Fraud In Child Welfare

When watching this video, I want you to replace the word "MEDICARE" with "MEDICAID" and then replace "SENIORS" with the word "CHILDREN" and you will have visual of fraud, waste and abuse in child welfare.

If you suspect Medicaid fraud in child welfare, contact your State Attorney General Medicaid Fraud Control Unit and the U.S. Department of Health and Human Services Office of Inspector General to report it.

Report Fraud in Child Welfare





Office of Inspector General
Department of Health and Human Services
PO Box 23489
Washington, DC 20026

Tuesday, January 12, 2010

DOJ Sexual Victimization of Youth

The Department of Justice Office of Justice Programs, Bureau of Justice Statistics released a findings report pursuant to the Prison Rape Elimination Act of 2003
(P.L. 108-79) (PREA) requires the Bureau of Justice Statistics (BJS) to carry out a
comprehensive statistical review and analysis of the incidents and effects of prison rape for each calendar year. This report fulfills the requirement under Sec. 4(c)(2)(B)(ii) of the Act to provide a list of juvenile correctional facilities
according to the prevalence of sexual victimization, entitled Sexual Victimization in Juvenile Facilities 2008-09

Completed by Allen H. Beck, Ph.D., Paige M. Harrison and Paul Guerino, BJS Statisticians, is the first pathetic attempt at a National Survey of Youth in Custody.

The attempt is pathetic because it accepts, as seen in its methodology section, that the facilities are in compliance of federal, state and local laws of reporting abuse and neglect. That is an assumption that could have easily been ruled out if the BJS Statisticians had any type of rudimentary background in child welfare policy.

For instance, if one looks U.S. Department of Justice Civil Rights Division, Civil Rights of Institutionalized Persons Act (CRIPA), one would be able to see the lack of reporting and monitoring, documented by the same Department this report was generated.

In most juvenile facilities, the only avenue for a youth to file a complaint is through the facility. The facility, not wanting to be contractually debarred, fined, license revoked, sanction, or risk bad publicity, will not report, let alone maintain a complaint registry database.

Then there is the next stratosphere of administrative deficiencies, pouring more fuel on the flames heating up the controversy in the legitimacy of data, is the non-existence of local regulation or databases. Continuing on up to a state level will further demonstrate the data are all suspect as the states have never once met annual benchmarks in its child welfare system.

What were not even raised as possible biases:

(1)Researcher bias: The DOJ was investigating itself, an inherent conflict of interest as it never raised participation of the DHHS OIG activities;

(2)Selection bias: In the sample, there were no residential institutions or temporary foster care shelters which would have fallen well within the range of acceptability.

Included are questions surrounding the qualifications of the population of facilities. If the validity of reporting of abuse and neglect is at the heart of the matter, then it should have been properly identified;

(3)Policy bias: This one is all mine. Never did they mention the exclusions and exemptions with the Freedom of Information Act in dealing with matters of children who are under the aegis of the state. States have multiple confidentiality policies that do not allow the warehousing of youth complaints;

(4) Contamination bias:

Q: Who does a youth report abuses to while incarcerated?
A: Reporting it to the incarcerator who is abusing.

Q: How does a youth report sexual abuse when there is fraud in the case?
A: Never.

Out of pure safety and survival issues, a youth may not be inclined to report out of fear of retaliation or threats, meaning the abuser will "intervene" with an increase of abuse to continue revenue-maximization schemes;

(5)Compliance bias: As touched upon earlier in this post, compliance to abuse and neglect reporting was automatically assumed;

(6)Operationalization bias: It breaks down the incidents into those involving actual private parts, and those that involve kissing, exhibitionist behavior and misc. (i.e. showing porn). There are significant difference between the degrees of sexual misconduct, even on federal and state levels. There were no specification of the categories nor were there any assignment. This leaves the reader to, I guess, "guess" as to the rates of occurrence and how it relates to staff interactions with youths.

I could continue, but I believe I have made my point.

If the writers of these findings properly identify the limitations of the study, then, the report would be worth replication. As it stands, the National Survey of Youth in Custody Report, Sexual Victimization in Juvenile Facilities 2008-09 completed by Allen H. Beck, Ph.D., Paige M. Harrison and Paul Guerino, BJS Statisticians, is a wonderful educational tool for better understanding the lack of accountability and transparency in child welfare.

U.S. DOJ Report on Sexual Victimization in Juvenile Facilities 2010

State of Michigan Committee on Appropriations for Human Services will be holding session to review this report, Thursday, January 14, 2010 at 9:00 a.m., 426 State Capitol Building, Chaired by Representative Dudley Spade, Clerk Phone Number 517-373-8080.

As Michigan has some of the most egregious administrative child welfare administrative operations in the nation, it will be interesting to review the review of the committee.

It can only be hoped that the need for a central registry for child welfare be established to end fraud in child welfare, not just in Michigan, but for the entire nation, and world.

The rates of sexual victimization in juvenile facilities reported by youth needs to be considered higher that what is found in this report. I do not know what to be considered worse, the fact that youth are being harmed at an alarming rate under the care of the state, or the fact that this DOJ publication is covering it up.

Monday, January 11, 2010

Michigan's Noble Lie

Michigan Children's Institute is the epitome of the example of Plato's Noble Lie. This is a governmental entity that, as it states on the site,

Michigan Children's Institute

The Michigan Children's Institute was created to assure the proper care of children needing services from the state. The law established the MCI superintendent as the legal guardian for children committed to MCI when parental rights have been terminated. In 1935, the Michigan Legislature established the MCI Superintendent as the legal guardian for these children. The Superintendent is authorized to consent to adoption, emancipation, and marriage of MCI wards. Children who have been committed to MCI, whose permanency plan is other than adoption, usually remain under the MCI supervision until age 19.

For further information regarding the Michigan Children's Institute contact 517-335-6421.

When you call, ask Mary Rossman, who will answer the phone, to speak with Bill Johnson, the Superintendent, or for that matter, ask to speak with Bruce Hoffman, his assistant and, just for fun, inquire the authority the Superintendent possesses to represent the Great State of Michigan without being elected, appointed by the Governor with advice and consent of the Senate, or just ask if he has ever taken an oath of office to uphold the Constitution of the United States. You will here my name being cursed under her breath because this is the Noble Lie.

The Noble Lie for MCI, is promoting the legitimacy of Michigan's Child Welfare System to the public when, in accordance to federal funding mandates and constitutionalities, in all practicality, it is illegitimate.

The Noble Lie is the Supreme Court clarified the Superintendent's powers as consenting to the designation of a guardian, layered with another Noble Lie of the Legislature introducing a package of bills to legitimize the legislative powers of the court, in order to continue the submissions of false federal claims.

The Noble Lie is the best for the State of Michigan for the entire Child Welfare System would implode if it were to come into federal compliance.

The Noble Lie is growing, underneath the veil of secrecy. As seen below, there is no shape or form to access the fraudulent activities of Michigan's Child Welfare system, not even the secret operations of MCI.


You have accessed a case that arises under the Adoption Code, as
denoted by the two-letter case type code in the lower court file number.

Pursuant to MCL 710.67, “…records of proceedings in adoption
cases…and the papers and books relating to the proceedings shall be
kept in separate locked files and shall not be open to inspection or copy
except upon order of a court of record for good cause shown expressly
permitting inspection or copy.”

All information on adoption cases is foreclosed from disclosure. No
employee of this Court may provide information regarding this case to a
member of the public except by order of this Court. MCL 710.67.
If necessary, you may call 517/373-2252 to confirm that this case is
appropriately flagged as arising under the Adoption Code.

When an opinion is issued, it will be accessible through the Court’s
online opinion archive.

The way this statute is written, there is no tolerance for a whistleblower.

Dunleavy v. Wayne County

Stop the Noble Lie. Stop Medicaid Fraud in Child Welfare.


Sunday, January 10, 2010

Your CASA is not my casa

The National Court Appointed Special Advocate Association (CASA) has established standards for states in the operations of its CASA programs.

The mission of the National Court Appointed Special Advocate (CASA) Association, together with its state and local members, is to support and promote court-appointed volunteer advocacy for abused and neglected children so that they can thrive in safe, permanent homes.

From the point of identifying deficiencies in the child welfare system, I am compelled to address each area pursuant to the enumerated standards below, for the sole purposes of ameliorating fraud.

Standard 1: The state organization has a mission and purpose that is consistent with the goal of developing and supporting quality volunteer advocacy in court for children who are abused and neglected.

How is it the state organization can "develop and support" quality volunteer advocacy when it does not address the issues, well documented by the U.S. DHHS and U.S. DOJ, as well as each state auditor general, when it comes to "develop and support" the means and methods for reporting suspected fraudulent activities to the states ombudsman office or the attorney general, as mandated in federal grant reporting?


Standard 2: The state organization has a body responsible for governing the organization, overseeing compliance with all applicable laws and regulations and ensuring ethical conduct.

This is completely and utterly false by applying a simple First Amendment prong test: does an individual have the ability to redress grievance? In many instances, CASA is still a private organization where there is no formal public body of oversight established. If one, whether it be a child, parent, or anyone of affinity or consanguinity wishes to file a complaint against a CASA volunteer, being a volunteer, there is no regulatory oversight body. One may not grieve to a legislative official as this is a court activity and one may not grieve to the courts as there is a pending case.

CASA volunteers do not take oaths of office neither are they required to be agents of the courts, as in attorneys.

The only road to recourse is blocked by indemnification and quasi-immunities. There are no vehicles for contractual disbarment, license revocation, fines, sanctions or prosecution.


Standard 3: The state organization engages in a strategic planning and assessment process to establish its goals and priorities and to evaluate its effectiveness in achieving its mission.

If CASA does not maintain and warehouse grievances, how is it Continuous Quality Improvement programs exist to allow strategic planning and assessment? Are there internal controls and if so, what are they, because I surely have no idea. Even after I interviewed directors of local CASA programs, internal controls could not be identified. Local CASA offices have no local goals.

This, essentially is Anti-Trust activities. No competition means there the opportunity for improvement has been surgically removed from any activities for quality improvement.


Standard 4: The state organization has written policies for recruitment, selection, inclusion, training and performance, which are guided by generally accepted human resources practices.

Unfortunately, in many states, individuals who were never found to be guilty of the crime of abuse and neglect may not have their names removed from Central Registry. These are individuals who would be most knowledgeable of the child welfare system and more likely to provide innovative ideas and insight into what is best for the children and the families. This is a population that is excluded from advocacy.

Another excluded population is community representatives. Most of the time CASA volunteers to not come from the neighborhoods of the children they represent and have very little understanding of the social fabrics that have led to the situations they represent.


Standard 5: The state organization manages its operations in accordance with generally accepted financial and risk-management practices.

Standard 6: The state organization provides information and education to promote CASA/GAL advocacy for abused and neglected children.

CASA/Guardain ad litem(GAL) does not always represent abused and neglected children. Not all children in the foster care system are abused and neglected. Therefore, this is false public information. In many instances, poverty, or for a better working example, not having access to medical resources, is grounds for opening an abuse and neglect case. When this is such the situation, there should be no negative connotations on a child who must enter foster care in order to receive services.


Standard 7: The state organization promotes the integrity and quality of the CASA/guardian ad litem program and the delivery of the highest quality advocacy services to children who are abused and neglected.

Again, not all children involved in the child welfare system are abused and neglected.


Standard 8: The state organization is a member of the National CASA Association and meets its standards, requirements and policies.


Standard 9: The state organization engages in comprehensive planning for the initiation and start-up of its operations.


Standard 10: The state organization is committed to inclusiveness and diversity as essential values. It demonstrates these qualities in its own operation and promotes them in local program governance, management and quality advocacy for the state’s abused and neglected children.


The child welfare system needs reform but it may only happen if all parts of the whole are on board.

Hey CASA, come join the movement to stop Medicaid Fraud in Child Welfare!

CASA State Standards 2009