FRAUD TRIAL UPDATE

Sep 20, 2007

A FEDERAL JUDGE IN U.S. DISTRICT COURT IN GREENEVILLE IS EXPECTED TO RENDER HIS DECISION TODAY ON WHETHER TO DISMISS AN INDICTMENT AGAINST A FORMER GRAY TENNESSEE NURSING HOME OPERATOR. BILLIE ANDERSON IS CHARGED WITH OBTAINING MEDICAID PAYMENTS BY FRAUD. HER ATTORNEY, DAN SMITH, CLAIMS THERE ARE AT LEAST 10 SPECIFIC COUNTS INCORPORATED INTO ONE INDICTMENT. ANDERSON IS ACCUSED OF DEFRAUDING MEDICAID OUT OF 1.4 MILLION DOLLARS BY NOT TELLING THEM THE FACILITY HAD NO MEDICAL DIRECTOR ON STAFF. ANDRESON OWNED ANDERSON HEALTHCARE, LATER KNOWN AS ST. JOHN;S HEALTHCARE BEFORE HER ADMINISTRATOR’S LICENSE WAS SUSPENDED IN 2003. THE TRIAL IS SET TO RESUME THIS MORNING AT NINE O’CLOCK.