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Attorney General's News Release

August 13, 2009

Koster Announces $3.9 million Medicaid Fraud Settlement

Jefferson City, Mo. - Attorney General Chris Koster said today that Noel R. Botsch, owner of a pharmacy headquartered in Cape Girardeau, has agreed to pay more than $3.9 million to Missouri, Illinois, and the federal government to resolve allegations of Medicaid fraud.

Koster said that between 2002 and 2005 Botsch, who owns Special Design Health Care, a specialty pharmacy that provides a variety of in-home pharmacy services, allegedly double-billed Medicaid in some cases and submitted false claims for payment in others.

The settlement is the result of a joint state and federal investigation that began when the federal Office of Inspector General forwarded a complaint to the Attorney General. Koster said the Medicaid Fraud Control Unit of the Attorney General's Office conducted the investigation in Missouri.

"Missouri's Medicaid program is designed to help needy Missourians who could not otherwise afford medical care or prescription medications," Koster said. "Our Medicaid Fraud Control Unit has performed outstanding work to recover these taxpayer dollars."

One of Koster's top priorities as Attorney General is to uncover Medicaid fraud and recover payment for taxpayers. He said citizens should report suspected Medicaid fraud to the Department of Social Services' Investigation Unit at 573-751-3285, or e-mail the complaint to The department and the Attorney General's office work together closely in the investigation and prosecution of Medicaid fraud.


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