Detroit Adult Day Care Center Involved in $10 Million Psychotherapy Fraud Scheme

Checarol Robinson, the owner of P&C Adult Day Center, has pleaded guilty to participating in a $10 million psychotherapy fraud. At sentencing this December, Ms. Robinson could be sentenced to a maximum of 10 years in prison as well as a fine of $250,000 for each count.

Ms. Robinson allegedly provided personal information about the Medicare beneficiaries in her care to a fraudulent psychotherapy company that was owned by Caldwell Thompson Manor Inc., a co-conspirator. According to the Justice Department, psychotherapy services were not medically necessary and/or not actually provided to the clients.

Nevertheless, Ms. Robinson submitted bills to Medicare for psychotherapy services and the psychotherapy company signed patient charts to document services that had not actually been provided. As part of the Medicare fraud scheme, Ms. Robinson’s company and the psychotherapy company allegedly filed false claims totaling $10 million to Medicare.

Federal authorities often depend on whistleblowers who have inside information to help uncover healthcare fraud. The qui tam provision of the False Claims Act allows individuals to file suit on the behalf of the government. The whistleblower is then entitled to share in any recovery.

Waters & Kraus is a national firm with highly skilled lawyers practicing qui tam litigation in four offices, including Dallas, Los Angeles, San Francisco, and Baltimore. Our attorneys have decades of experience successfully representing whistleblowers in a variety of fraud cases. Contact us or call our attorneys at 800.226.9880 to learn more about our practice and how we can assist.

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