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Attorney General's News Release

December 12, 2011

Attorney General Koster reaches settlement in Medicaid fraud case
-- Company to pay state $15,000 --

Jefferson City, Mo.— Attorney General Chris Koster today announced a settlement with Lana Reece-Gates, owner of Dignity Home Health Care Services, a St. Louis-based company that provides in-home personal care services. The settlement resolves allegations that Reece-Gates submitted false claims to Medicaid and failed to run appropriate background screenings on personal care attendants.

Koster said his Medicaid Fraud Control Unit’s investigation revealed that Reece-Gates knowingly submitted false claims to Medicaid. She failed to run required background checks on personal care workers, and in at least one instance allowed an attendant to provide services when she knew the attendant had failed the background check. Reece-Gates then falsified records, indicating that she had provided the services.

“Medicaid pays companies like Dignity Home Health Care Services to supervise and ensure Medicaid personal care services are delivered appropriately. In this case, the company failed to carry out its duties,” Koster said. “I am committed to holding the companies responsible for doing what Medicaid pays them to do – make sure the services are provided properly.”

Koster said the agreement requires Reece-Gates to pay $15,000 in restitution and to forfeit her Medicaid-provider status for three years. Failure to comply with the terms of the settlement could result in her criminal prosecution.

Koster said citizens should report suspected Medicaid provider fraud or abuse and neglect to his Medicaid Fraud Hotline toll free at 800-286-3932, e-mail the complaint to or complete a complaint form at the Attorney General’s Medicaid Fraud Website at

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