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Attorney General Nessel Charges Former CEO of Oxford Recovery Center with Nine Counts of Health Care Fraud – False Claims

LANSING – Today, Tamela Peterson, 59, of Brighton, was arraigned before Magistrate Jerry Sherwood of the 53rd District Court in Howell on nine counts of Health Care Fraud – False Claim, announced Michigan Attorney General Dana Nessel. Each charge is a felony punishable by a four-year maximum term of incarceration and/or a fine of $50,000.  

Tamela Peterson was the owner and CEO for The Oxford Recovery Center in Brighton and The Oxford Center in Troy; both locations treated a wide range of patients with issues from addiction to mental health, including a large population of children diagnosed with autism in their Applied Behavioral Analysis program. It is alleged that Peterson had knowledge of and was the direct beneficiary of fraudulent health care claim practices, including billing for services not rendered. The Attorney General’s investigation into these alleged practices began in September 2022 upon complaints from former providers and patients. 

“Filing false claims impacts not only patients and providers, but also contributes to increased costs of healthcare and medical insurance for everybody,” said Nessel. “Health care fraud undermines the trust between patients and providers and patients’ notions of confidentiality and care. My office will continue to hold accountable those who take advantage of their practice for their own financial benefit.” 

Peterson was granted a $10,000 personal recognizance bond. She is next due in court at 8 a.m. on January 27 for a Probable Cause Conference in the 53rd District Court before Judge Shauna Murphy. The preliminary exam is scheduled for February 3rd.   

The Attorney General’s Health Care Fraud Division (HCFD) handled this fraud case for the Department. The HCFD is the federally certified Medicaid Fraud Control Unit for Michigan and it receives 75% of its funding from the U.S. Department of Health and Human Services under a grant award totaling $5,517,524.00 for the fiscal year 2026. The remaining 25% percent, totaling $1,839,170.00, is funded by the State of Michigan.

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Please note: For all criminal proceedings, a criminal charge is merely an allegation. The defendant is presumed innocent unless and until proven guilty. The Department does not provide booking photos.

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