Memphis counseling service billed for $300k in fake services

MEMPHIS, Tenn. (AP) – The owner of a Memphis counseling service has pleaded guilty to defrauding TennCare of more than $300,000 by billing for services that were never performed.

According to a news release from the U.S. Attorney’s Office in Memphis, Vicky Fox began contracting with Tennessee’s Medicaid program in 2008 for grief counselling and psychotherapy services at her Rainbow Center for Children and Adolescents.

After one of Rainbow Center’s licensed clinical social workers left in January 2012, Fox continued to use that worker’s provider number to bill for phantom services.

The Tennessee Bureau of Investigation began looking into the billing in August 2014 at the request of the Bureau of TennCare.

Fox pleaded guilty on Friday to one count of health care fraud. She is scheduled to be sentenced in November.