Monday, July 10, 2006
This arrest is significant in that it denies this individual the continued opportunity to illegally profit from the Medicaid system, which exists for low-income families who require legitimate counseling services, said Attorney General Abbott.
From March 2002 to February 2004, Binder allegedly collected fraudulent reimbursements from Medicaid totaling almost $498,000. In another period from February 2004 to May 2004, Binder’s businesses received over $99,000 in reimbursements tied to fraudulent services.
Binder hired licensed professional counselors to work at the sites, operating the businesses as behavioral and mental health counseling services subject to reimbursement from Medicaid for services provided. He and his associates allegedly visited Houston public schools and apartment complexes handing out flyers for their services, while also obtaining Medicaid account numbers from recipients. The numbers were used to bill for counseling services that never occurred. In other instances, the counselors submitted claims falsely stating they had spent much more time with clients than actually occurred.
The investigation conducted by Attorney General Abbott’s Medicaid Fraud Control Unit established that over 5,500 claims were submitted to Medicaid for reimbursement, and 95 percent of them are alleged to be fraudulent. The investigation continues.
To obtain more information about the Attorney General’s efforts to fight Medicaid fraud, access the agency’s Web site at www.texasattorneygeneral.gov.