Michigan Attorney General Mike Cox Charges Former Nursing Home CEO with Medicaid Fraud and Embezzlement: State alleges CEO took $88,000 to pay personal expenses
Thursday, May 18th, 2006.
Lansing, MI - Attorney General Mike Cox announced today that he has charged a former Chief Executive Officer (CEO) of Church of Christ Care Center in Clinton Township with knowingly presenting and causing to be presented false claims to the State’s Medicaid Program and for embezzling money belonging to the Church of Christ Care Center for his personal expenses.
“Health care costs are a burden for all of Michigan’s families,” said Cox. “That burden is worsened when individuals abuse the taxpayers for their personal gain. My office will continue to lead the fight against Medicaid fraud.”
Stephen Czekiel was employed at the Church of Christ Care Center as the assistant administrator and in February 2004 became the Chief Executive Officer. From January 2000 through September 2004, Mr. Czekiel had sole responsibility for the Center’s accounts payable and had access to the American Express and Home Depot company charge cards.
In May 2005, the Health Care Fraud Division received an anonymous complaint regarding Stephen Czekiel’s misappropriation of the Center’s funds. The Michigan Department of Community Health (MDCH) assisted in the investigation and completed an audit of Church of Christ Care Center’s cost report for January 1, 2003 through December 31, 2004. Each year nursing homes are required to submit a cost report to the MDCH. The cost report summarizes the home’s expenses and operating costs and is used to determine a nursing home’s Medicaid reimbursement rate.
The audit completed by the MDCH revealed that Mr. Czekiel had misappropriated approximately $88,000 from the Church of Christ for personal expenses, such as repairs to his personal vehicles, propane to heat his personal residence, and satellite television services.
“We take all insistences of Medicaid fraud seriously, and when we have reason to believe that a provider has broken the law, we move swiftly and aggressively to address the situation, including the seeking of full restitution of state tax dollars that were stolen,” said Janet Olszewski, Director of the Michigan Department of Community Health. “MDCH remains committed to preventing Medicaid fraud and has taken several steps over the course of the last three years to be increasingly vigilant against providers who choose to cheat the system.”
Mr. Czekiel has been charged with two counts of violating the Medicaid False Claims Act, MCL 400.607, a felony with a maximum penalty of 4 years and/or a $50,000 fine, and one count of embezzlement by an agent or trustee of $20,000 or more, MCL 750.174(5)(A), a felony with a maximum penalty of 10 years and/or $15,000 or three times the amount embezzled, whichever is greater.
A criminal charge is merely an accusation, and the defendant is presumed innocent until and unless proven guilty.
« Nursing Home Abuse News Main Page.
You can follow any responses to this entry through the RSS 2.0 feed.
You can leave a response, or trackback from your own site.