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October 1, 2013

Health service cos. suspended on fraud charges

Two mental health service agencies with locations in Augusta, Winthrop, Damariscotta and Wiscasset have stopped receiving MaineCare payments as a state investigation into fraud charges is under way.

The Portland Press Herald reported that AngleZ Behavioral Health Services and Umbrella Mental Health Services are facing a “credible allegation of fraud,” according to John Martins, spokesman for the state’s Department of Health and Human Services.

Martins said that once the agency receives a credible allegation, it is required to stop payments. The suspension of payments means the patients, most of whom live in Kennebec and Lincoln counties, will have to seek services under MaineCare at another agency.

Annalee Morris, the CEO of AngleZ, told the Maine Public Broadcasting Network that the payment suspension came as a shock and has resulted in layoffs of most of the agency’s 87 employees. Morris said she’s appealed the allegations and expects that she will only be able to keep on her remaining employees, who are helping clients find other providers, through this week. DHHS officials are also helping affected clients and the state’s Department of Labor is working with affected employees to help them through the potentially temporary layoffs.

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