Watchdog Claims Union's Legal Fight Reveals ObamaCare Fraud

By Perry Chiaramonte.

A Texas union’s dirty laundry — aired out in court when workers charged they were cheated out of overtime pay – also shows the labor organization ripped off taxpayers under a $1.3 million contract to sign people up for ObamaCare, a watchdog group is claiming.

Non-profit group Southern United Neighborhoods got a $1.3 million federal grant in 2013 to serve as a “navigator,” enrolling people in Affordable Care Act coverage. The group subcontracted with United Labor Unions Local 100, which, according to Cause of Action, paid members less than it billed the government and, in some cases, paid them to recruit union members. The watchdog group discovered the alleged discrepancy in court papers filed by union workers suing the labor organization for unpaid overtime.

“Southern United Neighborhoods and ULU Local 100, both rebranded ACORN entities, present a risk of violating the law – this time by potentially misusing over $1.3 million of taxpayer dollars for union activities instead of enrolling individuals in the Affordable Care Act,” Daniel Epstein, executive director for Cause of Action said to FoxNews.com.

Epstein and his group sent a letter to the federal Health and Human Services Inspector General this week asking that SUN and the union be investigated for fraud.

“Given the amount of federal dollars at issue, the Inspector General should investigate SUN and conduct an audit into the potential misuse of ACA navigator funds,” read the letter.

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Photo Credit: Daily CallerMedicaid Scam In Michigan Takes $29 Million From Taxpayers

By Jonah Bennett.

Health care providers defrauded Medicaid to the tune of $29 million dollars by coordinating with a day care center for mentally ill adults to steal patient information, the Washington Examiner reports.

Abdul Malik Al-Jumail and his daughter Jamella Al-Jumail created a series of fake health companies, and then collaborated closely with Felicar Williams, 51, who ran the day care center. Felicar would steal patient information, the Jumails would file false claims, and then provide kickbacks to Felicar. Many complex procedures for mental health were billed that were simply never provided.

Sometimes the Jumails would even fabricate entire medical records if necessary to gain reimbursement, showing how patients desperately needed treatment, and how their companies provided care. All three individuals involved are now in prison. The actual sentencing, however, hasn’t yet been scheduled. Two others, Mohammed Sadiq and Philandis Thomas, are charged in the indictment and scheduled for trial later this month. Another individual remains on the loose.

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