Report: Fraud at adult care centers

November 2, 2008 4:31:57 PM PST
A year-long moratorium on the licensing of new adult day care centers in New Jersey is set to take effect Monday.State investigators reportedly suspect that nearly one-third of existing centers have committed Medicaid fraud.

The Star-Ledger of Newark reports in Sunday's editions that New Jersey's Department of Health and Senior Services has revoked the authority of 41 center operators to determine which seniors are eligible for their programs.

Officials have declined to name which centers are under scrutiny.

Department spokeswoman Donna Leusner tells the newspaper that the moratorium on new licenses was prompted by concerns over suspicion of fraud, program costs and an effort to maintain the overall program's integrity.

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