NEW YORK (1010 WINS) – New York Attorney General Letitia James on Friday announced the indictment of a Bronx clinic owner accused of defrauding the state out of millions of dollars in false Medicaid claims.
Leslie Montgomery, 50, of the Bronx for Montgomery is accused of stealing more than $4 million by allegedly scamming individuals and taxpayers through an elaborate scheme, where she advertised a fake housing assistance program to lure low-income New Yorkers into providing their personal information, including their Medicaid numbers in order to qualify for the false program.
Montgomery then used that personal information to submit false claims for custom-molded back braces to MetroPlus Health Plan, Inc. (MetroPlus), a Medicaid-funded managed care organization, for braces that were not needed and never ordered by patients.
She also did business as Healthy Living Community Center (Healthy Living) and owned LCM Livery P/U, Inc. (LCM Livery), according to the indictment.
“Cheating taxpayers by preying on vulnerable New Yorkers is disgraceful and unacceptable,” Attorney General James said.
The indictment also alleges that Montgomery regularly used social media to advertise a sham housing assistance program as a ruse to lure low-income New Yorkers to Healthy Living
Instead of helping New Yorkers find housing, Montgomery allegedly used their personal information to submit false claims to MetroPlus for highly customized back braces that she never provided to the Medicaid recipients. From time to time, Montgomery provided a $20 “off-the-shelf” back brace that was mailed directly to them from Amazon, the indictment adds.
However, most of the time, Montgomery failed to provide any brace at all, yet still billed MetroPlus between approximately $750 and $1,550 per back brace.
Montgomery is accused of pocketing over $4 million collectively from the scheme.
“This alleged scheme took advantage of those most in need, baiting individuals with fake promises of affordable housing, only to use their personal information to steal more than $4 million from taxpayers. This fraud will not go unchecked, James added. "We will go after anyone who steals from New Yorkers.”
Montgomery is facing charges including grand larceny, health care fraud and
money laundering.
She also faces five counts of identity theft in the First Degree, a class D felony.
If convicted, Montgomery could face up to 25 years in state prison.