March 29, 2007 -- Attorney General Paul Morrison announced today that a Wichita couple was convicted yesterday on charges of making false claims to Medicaid.
Peggy Franklin-El, 49, Wichita, Kan., was convicted on 69 counts including conspiracy to defraud Medicaid, health care fraud, money laundering and obstruction of justice.
Johnnie Franklin-El, 52, Wichita, Kan., was convicted on 22 counts including conspiracy, health care fraud, money laundering and obstruction of justice.
The Attorney General’s office investigated the case. Special Assistant U.S. Attorney Loren Snell of the Kansas Attorney General’s Office and Assistant U.S. Attorney Tanya Treadway prosecuted.
“Our investigators and attorneys worked very hard building a strong case against two individuals who were defrauding the Medicaid program,” Attorney General Paul Morrison said. “Through a joint effort between the Kansas Attorney General’s Office and the U.S. Attorney’s Office, justice has been served.”
The couple operated a drug and alcohol counseling center and was found to have made more than $1.24 million worth of false claims to Medicaid for community based drug and alcohol treatment that was not provided.
“That includes claims for treatment reportedly provided to infants and children under 12 years old, and claims for beneficiaries who did not have drug and alcohol addictions,” U.S. Attorney Eric Melgren said.
Sentencing is set for June 11, 2007. The couple faces a maximum penalty of 5 years in federal prison and a fine up to $250,000 on both the conspiracy and obstruction charges; and a maximum penalty of 10 years and a fine up to $250,000 on each of the remaining counts.