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$12.7M Medicaid fraud scheme exposes wider program concerns

Summary by Carolina Journal
Last week, a federal judge sentenced four people tied to fake substance-abuse treatment facilities in Kinston and Goldsboro to 14 year prison sentences. Prosecutors say they were orchestrating a $12.7 million Medicaid billing scheme that used illegal kickbacks to lure patients into unnecessary services. The operation billed Medicaid for fraudulent claims between 2018 and 2023. The crime resulted in prison sentences, the permanent closure of the …
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Carolina Journal broke the news in on Wednesday, March 11, 2026.
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