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AHCCCS providers accused of billing for dead patients, double billing and more

Providers on a state list of companies suspected of fraud are accused of billing the state for dead patients and billing for more hours than are in a day.

PHOENIX — The providers on a list of companies AHCCCS has suspended over allegations of fraud include companies suspected of billing the state for treatment provided to dead patients, among other billing irregularities. 

12News obtained the Credible Allegation of Fraud (CAF) letters for all 108 providers suspected of bilking the state out of hundreds of millions of dollars.

RELATED: Who are the providers suspended for alleged AHCCCS fraud? 

State officials said last week that these companies preyed, in part, on Native Americans in need of drug and alcohol rehab. In some cases, Attorney General Kris Mayes said, transporting them far from their homes for treatment they never provided, then leaving them stranded in Phoenix. 

RELATED: New hotline available for Arizona patients displaced by AHCCCS providers shutting down 

The CAF letters spell out the allegations for each of the 108 companies. 

Focused Family Services is accused of billing the state using the names of dead people.

The owner of the business owner contacted 12News to say the allegations weren't true and blamed her medical billing company. She decided not to interview after her lawyer told her not to. 

But her medical billing company, ProMD Solutions, is the same company listed on the corporate records of 10 other companies on the AHCCCS list. 

Its corporate address in California appears to be a third-party post office. Its address in Arizona is a Staples store in Sedona.

Other providers are accused of billing the state for more hours than they stayed open. Another is accused of billing for more than 24 hours at a time. 

More are accused of double billing, repeatedly submitting the same bill, and billing the state for treatment services for patients in other hospitals at the time. 

State officials said the fraud likely totals hundreds of millions of dollars. 

Governor Katie Hobbs has ordered a third-party audit of AHCCCS to determine how much fraud there was. 

But Attorney General Mayes said the AHCCCS list is likely to grow larger. 

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