Unreported Business Ownership
OIG received information that a recipient underreported his earned and unearned income, which if it had been reported, the recipient would have been ineligible for Medicaid. During the investigation, OIG discovered that the recipient had applied for a commercial bank loan. OIG obtained records which confirmed the client owned and operated a hotel in Wisconsin, where he also resided. Bank records revealed the recipient had gross earnings that far exceeded the income limits for Medicaid. The recipient’s failure to report accurate income and residency to MDHHS resulted in $15,181 of Medicaid benefits which he was not eligible for. The recipient was charged with welfare fraud, failure to inform and false pretenses.