Man operating 2 Dayton recovery centers accused of Medicaid fraud

The front windows of the Walter H. Rice Federal Building and U.S. Courthouse in downtown Dayton. THOMAS GNAU / STAFF

Credit: Thomas Gnau

Credit: Thomas Gnau

The front windows of the Walter H. Rice Federal Building and U.S. Courthouse in downtown Dayton. THOMAS GNAU / STAFF

The owner and operator of two Dayton drug and alcohol recovery centers is accused of submitting more than $4 million in Medicaid claims for services that weren’t provided or violated Medicaid rules.

Terry Hill Jr., 59, was indicted on healthcare fraud, making false statements relating to healthcare matters and conspiracy to commit healthcare fraud in the U.S. District Court, Southern District of Ohio.

Hill reportedly illegally owned and operated Recovery Street Central and Clearview Treatment Services. He was convicted of Medicaid fraud in Franklin County Common Pleas Court, which excludes him from Medicaid, according to court records.

Despite the conviction, Hill was part of the operational functions at the recovery centers, including hiring and firing employees, establishing and paying employees and controlling the centers’ finances.

He also reportedly was on the centers’ bank accounts and controlled all financial transactions.

The U.S. Attorney’s Office claims Hill had others sign and submit Medicaid applications on behalf of the centers to cover up his ownership and involvement.

Hill is also accused of transferring more than $1 million of Medicaid payments in the centers’ bank accounts into his personal accounts.

He directed others to submit claims for group counseling sessions facilitated by people who were not licensed and were unqualified to provide the sessions, according to court records.

Hill and others reportedly submitted Medicaid claims for group counseling that exceeded the one-to-12 counselor-to-patient ratio required.

His actions caused more than $4 million in fraudulent submissions to Medicaid, the indictment read.

Hill has a pretrial conference scheduled for Aug. 18.

His indictment was part of the Department of Justice’s National Health Care Fraud Takedown initiative. Charges were filed against 324 people for allegedly committing healthcare fraud and illegal drug diversion schemes.

The defendants are reportedly responsible for more than $14.6 billion in intended loss and more than 15 million pills of illegally diverted controlled substances, according to the U.S. Attorney’s Office.

The government has seized more than $245 million in cash, luxury vehicles and other assets in connection with the initiative.

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