Attorney General's News Release

April 4, 2005

Kansas City woman sentenced to five years for Medicaid fraud, stealing and forgery; defrauded state of $264,000

Kansas City, Mo. — Jackson County Circuit Judge Jay Daugherty on Friday (April 1) sentenced Carri Anne Ellis, of Kansas City, to five years in prison for defrauding the Missouri Medicaid program and the Division of Family Services' Children's Treatment Services program of more than $264,000.

The charges were in connection with a counseling service owned and operated by Ellis and her husband, Brian J. Ellis. The couple and their business, Change of Heart Inc., ran a scheme designed to receive payments for counseling services that were not provided or were provided by non-qualified therapists.

Ellis pleaded guilty in February to one count of Medicaid fraud, one count of forgery and two counts of stealing by deceit. Her sentence includes five years on each of stealing and forgery charges and four years on the Medicaid fraud charge, with the sentences to run concurrent.

Brian Ellis pleaded guilty and was sentenced on one count of Medicaid fraud, one count of stealing by deceit and one count of forgery. He was placed under house arrest for 60 days and on five years' probation. Change of Heart pleaded guilty to one count of Medicaid fraud.

The Ellises and their business were indicted last summer by a county grand jury at the request of Attorney General Jay Nixon and Jackson County Prosecuting Attorney Michael D. Sanders.

At the February plea, Judge Daugherty ordered Change of Heart to pay a $10,000 fine to the state and ordered all three defendants to be responsible to repay the Missouri Medicaid program $242,010.50. In addition, Carri Ellis was ordered to repay the DFS Children's Treatment Services Program $22,312.78, the amount she defrauded that agency.

The Medicaid Fraud Control Unit of the Attorney General's Office, formed by Nixon in 1994, has authority under state law to investigate and prosecute, both civilly and criminally, allegations of fraud against Missouri's Medicaid Program.

Inquiries from consumers should be directed to consumer@ago.mo.gov or 1-800-392-8222 (from within Missouri) or 573-751-3321 (outside Missouri).

All media inquiries should be directed to Press Secretary John Fougere.

E-mail      Phone: 573-751-8844         Fax: 573-751-5818