The Attorney General's Office has announced a legal victory in a civil enforcement case against Phoenix Counseling & Wellness, PLC, and its owner, Lauren Ann LaSante. The lawsuit was filed for violations of the Vermont False Claims Act related to fraudulent Medicaid claims.
Judge Samuel Hoar, Jr. issued a judgment totaling $2,733,989.47 against Ms. LaSante and Phoenix PLC. This amount includes penalties under the Vermont False Claims Act for 164 false claims submitted for Vermont Medicaid payments between January 2019 and September 2022.
Complaints about the quality of care and failure to provide treatment records led to an investigation starting in 2022. Despite multiple requests from investigators over two years, Ms. LaSante and her company did not cooperate with the investigation.
Vermont law requires Medicaid service providers to document services accurately and make these records available when requested by patients or auditors. Non-compliance can lead to severe penalties under state and federal laws.
The Medicaid Fraud and Residential Abuse Unit (MFRAU) is primarily funded by the U.S. Department of Health and Human Services, receiving 75 percent of its funding through a grant for Federal fiscal year FY 2025. The remaining funding comes from the State of Vermont.
A copy of the judgment order is available online. Suspected cases of Medicaid fraud can be reported to MFRAU via their website.