The former general of a company received a prison sentence for his role in defrauding the Medicaid for over $35 million.
According to the DOJ, District Judge James Moody sentenced Thaddeus M.S. Bereday to six months in prison.
Additionally, Judge Moody ordered Bereday to serve three years of supervised release including one year home confinement after his prison term. The judge also ordered him to pay a penalty of $50,000.
Bereday served several positions including as former general counsel of WellCare Health Plans. The company operates health maintenance organizations (HMOs) that targets government-sponsored benefit programs in several states. Two of its HMOs, StayWell and Healthease had contract with Florida’s Agency for Health Care Administration (AHCA).
Bereday admitted submitting false expenditure reports to Medicaid
In 2002, Florida enacted a statute requiring HMOs to spend 80% of the Medicaid premiums for certain behavioral health services to beneficiaries. The law also requires HMOs to return excess funds to the Medicaid program if they spend less than 80% of the premium.
