By: Richard L. Smith
Attorney General Matthew J. Platkin and the Office of the Insurance Fraud Prosecutor (OIFP) have announced a significant victory in the fight against Medicaid fraud with the seizure of approximately $6.4 million.
This comes as a final judgment by consent, settling charges against Daniel E. Cassell, the late head of a chain of mental health clinics across Essex, Hunterdon, Mercer, Union, and Warren counties, for conducting a fraudulent billing operation that targeted Medicaid.
Cassell, who passed away in December 2022, was implicated in a 17-count indictment in August 2022, facing multiple charges, including Medicaid fraud and theft by deception.
These charges resulted from an investigation sparked by the Medicaid Fraud Division of the Office of the State Comptroller, revealing that Cassell's businesses, Kwenyan Professional Health Services, and Kwenyan and Associates, submitted over 10,000 false claims to Medicaid between January 2015 and October 2020.
These claims were for non-rendered services or for group therapy sessions that were billed as more expensive individual or family psychotherapy sessions.
Despite Cassell's death, the Kwenyan entities admitted to submitting fraudulent claims, leading to the substantial seizure and forfeiture directed by Superior Court Judge Regina Caulfield in Union County.
The assets seized include 15 passenger vans, over $2.4 million from financial accounts, and nearly $4 million from the sale of properties, with additional funds from rent collection on real estate parcels.
Attorney General Platkin emphasized the importance of this judgment as a deterrent to Medicaid fraud, highlighting the systematic abuse of the system over several years.
Interim Insurance Fraud Prosecutor Al Garcia praised the detectives and attorneys' diligent efforts in reclaiming over $6 million in assets for the State, reaffirming the commitment to protecting Medicaid programs from fraudulent activities.
