August 22, 2010

Psychiatric Fraud Case Unsealed in Illinois

Illinois Medicaid Fraud Case Using PsychRights' Model Complaint Unsealed

The Law Project for Psychiatric Rights (PsychRights®) announces the unsealing of the first Medicaid Fraud case for prescribing psychiatric drugs to children and youth by someone other than PsychRights using PsychRights' model Qui Tam Complaint.

United States ex rel Linda Nicholson v. Lilian Spigelman, M.D., Hephzibah Children's Association, and Sears Pharmacy, was filed in Illinois by attorney S. Randolph Kretchmar as a result of PsychRights' Medicaid Fraud Initiative Against Psychiatric Drugging of Children & Youth.

Ms. Nicholson's daughter was given psychiatric drugs that were not for a "medically accepted indication," constituting Medicaid Fraud.

"The evidence is overwhelming that these drugs prescribed to children and youth are ineffective, even counterproductive, and extremely harmful to children, said PsychRights' president, Jim Gottstein.

Mr. Kretchmar, the attorney handling the case said, "People need to wake up to the huge amount of harm these prescribing practices are inflicting on our children. I am very pleased to follow the lead of PsychRights in addressing this problem and hope through this lawsuit we can help bring the practice to a halt."

Jim Gottstein continued, "People should expect more of these cases until this pervasive type of Medicaid Fraud stops. The Nicholson case is the first of such cases brought by someone other than PsychRights.”

The lawsuit is brought under the federal False Claims Act, which authorizes private parties to bring fraud actions on behalf of the United States Government and share in the recovery, if any.

No comments: