A North Haven-based counseling business and its owner must pay more than $100,000 to the state and federal governments to resolve allegations of fraudulent Medicaid claims.
The business, Behavioral Management LLC, and its owner, Neil Quatrano of Killingworth, entered into a civil settlement agreement, after government officials asserted the business violated federal and state False Claims Acts.
They will pay $100,843 to reimburse Medicaid for claims made during the 2014 calendar year.
According to the business’ website, it provides “therapeutic and relief services to clients with intellectual, behavioral and emotional disorders.”
“Neil Quatrano and Behavioral Management allegedly submitted fraudulent Medicaid claims for therapy and services that were never provided,” said state Attorney General William Tong.
Both Tong’s office and the U.S. Attorney’s office for Connecticut were involved in the case.
“In conjunction with our federal and state partners, the Office of the Attorney General will take strong action against anyone who misuses our state’s Medicaid program to the detriment of both taxpayers and patients,” Tong added.
Quatrano’s attorney, Mark Goodman with the firm McNamara & Goodman in New Haven, said his client provides important services to individuals with disabilities and ‘acted in good faith’ with his billing practices.
“He doesn’t admit any wrongdoing,” Goodman said. “Any misrepresentation was done innocently. He believes he got inadequate guidance from the state. This was always a civil matter and never a criminal matter.”
According to state and federal officials, Quatrano has a bachelor’s degree in social work, but he is not a licensed behavioral health provider in Connecticut.
Officials claim the business falsely represented that a licensed provider had rendered services, when actually an unlicensed individual had done so, documents show. Additionally, the government alleged that the business indicated it had provided 45 minutes of one-on-one psychotherapy services, when it actually provided 20-minute-long group services.
Under the False Claims Act, the government can recover triple the actual damages plus penalties. The case stems from a broad investigation into fraudulent activity in the area of behavioral health services, officials said.
Contact Michelle Tuccitto Sullo at msullo@newhavenbiz.com.