A local social services provider has agreed to pay the state more than half a million dollars to settle allegations it billed the state Medicaid program and the Massachusetts Department of Mental Health for services it never rendered, officials said yesterday.
Tri-City Mental Health Center, a non profit organization with facilities in suburbs north of Boston, will pay the state $556,687 and enter into a compliance program negotiated by the state attorney general and the US attorney's office, according to a statement released by the attorney general's office.
Employee complaints in 2003 prompted Tri-City to review claims submitted by its service center in Malden, according to the attorney general's office.
The internal investigation led to the termination of at least one manager, an independent audit, and notification of state and federal officials.
An investigation by the attorney general's and US attorney's offices found that between February 2002 and November 2003, Tri-City submitted claims to the state Medicaid program for adult psychiatric day treatment services not supported by documentation or never provided.
From September 2001 to October 2003, the organization submitted claims to the Department of Mental Health for rehabilitation and other services that could not be substantiated by documentation or were never rendered, the attorney general's office said.
Officials from Tri-City did not return calls yesterday.
In its statement, the attorney general's office wrote that Tri-City Mental Health Center "neither admits nor denies the allegations as part of today's settlement and has cooperated fully with the investigation."![]()
