Ashley Moody introduces bill to let states go after people who file fraudulent Medicaid claims

U.S. Sen. Ashley Moody is backing a bill that aims to crack down on the theft of taxpayer funds through Medicaid fraud.

Moody has introduced the STOP FRAUD in Medicaid Act in the Senate. Currently, state Medicaid Fraud Control Units mainly focus on investigations involving providers who file bogus claims. If the measure is approved, it would allow those investigators to go after people who file to receive benefits through claims that have deceived providers.

“I fought fraud as Florida’s Attorney General, recovering millions of dollars for taxpayers, and I am fighting it now as U.S. Senator, finding and closing gaps that exist in our laws. At a time when our nation’s debt is skyrocketing, we must increase our efforts to tackle wasteful spending,” Moody said.

“The STOP FRAUD in Medicaid Act gives states the authority to catch and punish fraud fast.”

One of Moody’s motivations is reports of Medicaid fraud in Minnesota. Moody said in her news release that there is as much as $9 billion in fraud billed across 14 Medicaid services in that state.

The suspicions of fraud in Minnesota led to President Donald Trump’s administration declaring a “new war on fraud” in February.

But Trump did not limit his claims in Minnesota. This month, administration officials opened an investigation in Florida regarding suspected fraudulent Medicaid claims.

A House version of Moody’s measure is already entering the Committee review process ahead of a possible vote by the full chamber. Republican U.S. Rep. Gabe Evans of Colorado is backing the House bill.

“We must eliminate and be proactive against fraud within Medicaid and Medicare to protect the programs for those who truly need it,” Evans said in a news release.

Moody was aggressive on health care fraud when she was Florida’s Attorney General. In that role, Moody was able to garner an estimated $180 million in settlements related to fake Medicaid claims.