Million Dollar Settlement In Home Health Care Case

State Attorney General Spitzer today announced an agreement with a home health care provider to recover more than a million dollars in overcharges to the Medicaid program.

Spitzer obtained the civil settlement with Star Multi Care Services, Inc. based at 33 Walt Whitman Road, Huntington Station. The company has already paid $200,000 to the State, with the rest to be turned over in installments.

The overcharges resulted from the company’s use of personal care aides who were not properly certified and Star’s submission of erroneous cost reports.

In the settlement, the company agrees to pay the $1.16 million for, among other things, providing home health care services with employees who did not have the required training to be personal care aides. The Medicaid program requires that personal care aides complete a training program in order for the company to be eligible for Medicaid reimbursements.

The investigation by the Attorney General's Medicaid Fraud Control Unit revealed that some 15 Star employees had not completed the required training. The agreement relates specifically to the time period of October 19, 1992 through October 19, 1996.

The agreement also includes repayment of Medicaid money for services provided by an aide who failed to disclose to Star that her client was, in fact, her mother and, therefore, her services were not reimbursable under the Medicaid program. This aide, Tracey Lee Spruill of Westbury, has plead guilty to Grand Larceny, a felony, and is awaiting sentence in Nassau County Court.

Star Multi Care Services has cooperated with the State's investigation and immediately remedied the problems Spitzer's office pointed out by training its personnel and submitting revised cost reports.

A personal care aide assists the infirm with daily living activities but does not provide any medical services.

This case was handled by Assistant Attorney General Michael Rice of Attorney General Spitzer's Medicaid Fraud Control Unit.