Overview

• Prosecutors on Thursday charged eight people in the first wave of cases tied to alleged bogus billing in Minnesota’s Housing Stabilization Services program and said additional charges will follow.
• The cases describe schemes that enrolled vulnerable Medicaid-eligible people, often exiting treatment facilities, and billed for services that were not provided.
• Named entities include Brilliant Minds Services LLC, Faladcare Inc., Leo Human Services LLC and Liberty Plus LLC, with authorities alleging millions in fraudulent claims.
• DHS has halted payments to 115 providers that collectively billed about $100 million and is seeking federal approval to end the program with an Oct. 20 shutdown target and a future redesign.
• Investigators are examining provider networks that billed multiple Medicaid programs, including autism services now under active review, as political and administrative fallout grows with a DHS leadership departure and a new anti-fraud executive order from Gov. Tim Walz.