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Texas AG Secures $40 Million for Texas Following Medicaid Fraud Investigation

Attorney General Ken Paxton’s Healthcare Program Enforcement Division has secured $40 million for the State of Texas by settling an enforcement action brought under the Texas Health Care Program Fraud Prevention Act (THFPA) against Molina Healthcare of Texas, Inc. and Molina Healthcare, Inc. (together, “Molina”). Molina—a publicly traded Fortune 500 healthcare organization—serves Texans who are members of the Medicaid STAR+PLUS program, which is designed to aid individuals who are disabled, blind, or aged 65 and older. This settlement resolves allegations that Molina failed to timely assess Medicaid beneficiaries for services required under the program and concealed its non-compliance from Texas. The alleged violations of the THFPA were brought in a lawsuit filed by a whistleblower under the qui tam provisions of that statute.