Another "Kids for Cash" Settlement Ignores Medicaid Fraud

This is the first, well publicized case of child welfare fraud.

What has never been addressed in the "Kids for Cash" scandal is the fact there was also substantial Mediaid fraud and the fact that the State Attorney General has turned a blind eye for years.

There must be a court dertmination before federal funding is approved in child welfare cases.  This matter only addresses the civil aspect of damages to the parties involved.

States Medicaid Fraud Control Unit must desisgn mechanisms which allows them to go after Medicaid fraud in child welfare.

As it stands, it seems like no one is going to go for recovery.

I would like to commend the members of the law firm who have bodly stood up to take on advocating justice for these children.

I only wish I could find a team of Michigan attorneys to do the same thing here.

Judge OKs $4.75M settlement by 'kids for cash' center owner

WILKES-BARRE, Pa. (AP) — A federal judge has approved a $4.75 million settlement between a businessman at the center of a Pennsylvania juvenile justice scandal and youths sent to his detention centers by a corrupt judge.

Robert Powell was sentenced to 18 months in prison for his role in the scandal that became known as "kids for cash," a kickback scheme that led the Pennsylvania Supreme Court to vacate the convictions of thousands of juveniles.

Powell testified he was forced to pay hundreds of thousands of dollars to former Luzerne County Judges Mark Ciavarella Jr. and Michael Conahan in return for their support of his two private juvenile facilities.

The settlement agreement, approved Monday, covers at least 2,400 juveniles who appeared before Ciavarella between January 2003 and May 2008.

Prosecutors said Ciavarella ordered youths to detention for a wide range of relatively minor infractions, thus helping to fill the beds of Powell's PA Child Care and its sister facility, Western PA Child Care.

Ciavarella and Conahan are serving lengthy prison terms in connection with the scandal.

Plaintiffs have until Oct. 5 to submit a claim.

The plaintiffs previously reached a $2.5 million settlement with PA Child Care, Western PA Child Care and another company. The builder of the facilities, Robert K. Mericle, who paid the judges more than $2 million, agreed in 2011 to pay more than $17 million to the juveniles and their families.

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