In the Community Health Care Solutions fraud case, the Shreveport counseling service and its deceased owner’s estate agreed to pay $4,600,000 over allegations of billing Medicaid for crisis intervention that never happened. The government alleged that the company instructed counselors to create generic notes for patient files, often without ever meeting the patients. A crisis on paper. No care behind it, according to the government’s account.
The United States Attorney’s Office for the Western District of Louisiana announced the settlement on February 27, 2025. The Department of Health and Human Services Office of Inspector General and the Louisiana Attorney General’s Medicaid Fraud Control Unit investigated the alleged scheme.
Community Health Care Solutions allegedly used patient information to bill for crisis intervention, the service the government said carried the maximum reimbursement. The allegation puts the payment choice at the center of the case: counselors allegedly created notes supporting that service even when they had provided no service at all.
A crisis-intervention claim tells Medicaid what service was delivered and under whose responsibility. The government alleged that Community Health Care Solutions supplied the documentation for that claim without supplying the care.
We find the alleged bargain particularly ugly: the service carrying the maximum reimbursement, for people the counselors often never met. Medicaid’s money was meant to buy care for those people. The government said it bought claims for services that did not occur.
The government alleged that Community Health Care Solutions counselors were instructed to create generic notes that could be cut and pasted into patient files. In many instances, it said, they never met the patients or provided any services. The instruction matters as much as the repeated language: it connects what appeared in a file to how employees were told to work.
A counselor may know how the notes were written, a billing employee how they became claims, and a witness who directed the work. We connect those different views of the operation with you.
The government’s complaint involving Ultimate Treatment Center likewise alleged that cloned notes made it appear that practitioners had provided evaluation and management services at dosing visits when they had not.
The alleged Community Health Care Solutions scheme began with financial incentives offered to Medicaid recipients to share their patient information. The government said the owner/operator and employees then used that information to bill for crisis services that did not occur. The information was the connection between an identifiable recipient and a claim for treatment.
For an intake or office employee, the relevant knowledge may sit before the clinical chart: what recipients were offered, what information staff requested and where that information went. We follow that connection through to the claims. It can explain how someone became a billed crisis patient without becoming a person the counselor actually treated.
For crisis-intervention billing, useful evidence connects the Medicaid claim to actual patient contact, the person said to have provided care and the note supporting payment. We work with insiders to compare what was scheduled, what staff delivered and what the provider billed.
Your role may give you only part of that picture. The counselor, scheduler and biller each see a different part of the work. Our whistleblower experts work through those connections with you, including how sensitive treatment information should be handled. The conversation can start with what you know about the care and the claims.
Community Health Care Solutions and the deceased owner’s estate agreed to resolve the False Claims Act allegations together.
According to the Justice Department’s settlement announcement, a federal grand jury had indicted the owner/operator on health care fraud conspiracy, healthcare fraud and wire fraud charges. The owner subsequently died, leaving civil litigation as the government’s avenue to recover the money.
A whistleblower case under the False Claims Act can pay 15% to 30% of what the government recovers.
If you were told to write crisis notes for people you never saw, or watched those notes become Medicaid bills, talk with our whistleblower experts about what happened. We build the case around your knowledge of the operation and bring in Medicaid fraud whistleblower lawyers who understand behavioral health claims. We stay beside you as partners throughout the case, from the first account of the missing care to the pursuit of recovery.