Adult Foster Care Facility Owners Plead Guilty in Medicare Fraud Scheme

Lura Barrett and Stephen Cartier, both of Detroit, have both pleaded guilty for their roles in a Medicare home health scheme, according to a U.S. Department of Justice news release.

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Mr. Cartier was the owner and operator of Hilltop Estates, an adult foster care facility. According to plea documents, Mr. Cartier admitted he received kickbacks — in the amount of $2,000 per month — from Mohammed Shahab, the owner and operator of several home health agencies in exchange for allowing Mr. Shahab to bill Medicare for home health services purportedly provided to residents at Mr. Cartier’s AFC. Over the course of the conspiracy, Mr. Cartier referred 13 patients to Mr. Shahab, accounting for $159,531 in improper claims to Medicare.

Ms. Barrett, the owner and operator of another AFC and two room and board facilities, also admitted that she received kickbacks from Mr. Shahab. Ms. Barrett admitted that Mr. Shahab offered to pay her kickbacks in exchange for the opportunity to bill Medicare for home health physical therapy sessions purportedly provided to beneficiaries residing at her AFC and room and board facilities.

Mr. Shahab pleaded guilty in February. He is scheduled to be sentenced in June.

Read the DOJ release on Stephen Cartier and Lura Barrett.

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