Some private California drug rehabilitation clinics have defrauded taxpayers out of tens of millions of dollars, according to a new report from the Center for Investigative Reporting. The CIR’s year-long investigation found that some clinic operators are charging the government for non-existent patients and services through the state’s Drug Medi-Cal program. The Department of Health Care Services, the state agency that oversees the Drug Medi-Cal program, says it doesn’t yet know the extent of the problems, and is investigating. The agency recently raided 16 clinics that it suspects violated state laws. We’ll examine the alleged abuses in Drug Medi-Cal and look at how Obamacare will impact the program.
- More: With Lax Oversight, Fraud Flourishes in California’s Drug Rehab Clinics – State of Health
- More: CNN: Rehab Racket: Frauds, Felons and Fakes – CNN.com