Several formerly homeless people involved in an Aurora based enterprise known as “The Program” say they were required to sign nondisclosure agreements shortly before state officials suspended a related home health agency from Medicaid amid fraud investigations.
Participants told The Denver Gazette they were warned last week that they could be evicted from their housing if they refused to sign the documents. At least four individuals said they signed the agreements, adding they knew of others who did the same. All declined to be named, citing concerns about the NDAs they said they signed.
Program
“The Program” operates in roughly a half dozen homes across eastern Aurora, each housing about eight residents. Participants said they were offered free housing and regular cash payments in exchange for allowing a home health business to administer medications they were prescribed.
The Denver Gazette first reported on the enterprise last month, describing how dozens of homeless individuals were recruited, often by other participants, into the arrangement.
The home health agency tied to the program, On Going Home Health Care, has received at least $24 million in Medicaid payments over the past two years, according to the newspaper’s investigation.
NDAs
Participants said the nondisclosure agreements appeared on June 12, when workers visited the homes to distribute $50 gift cards and administer medications. It remains unclear how many people were asked to sign or which of the entities connected to the program required the agreements.
The Denver Gazette said it could not independently verify the contents of the NDAs.
Several participants said they felt pressured to sign after being told they could lose their housing if they refused.
Businesses
In addition to On Going Home Health Care, the program involves two other entities. A newly created church, Maranatha Indonesian-American Seventh-day Adventist Church, was described as the source of the three times weekly $50 payments to participants, characterized as donations.
Housing at the homes is overseen by a third business, Better Living. Representatives for all three entities did not immediately respond to requests for comment.
State Action
On Tuesday, the Colorado Department of Health Care Policy and Financing suspended On Going Home Health Care from the Medicaid program, citing credible allegations of fraud uncovered during an investigation that began after The Denver Gazette’s reporting. The suspension remains in effect while the investigation continues.
The department previously confirmed that the FBI and the Colorado Department of Public Health and Environment are also conducting investigations related to the enterprise.
A spokesperson for the health care department did not comment on the reported NDAs.
Political Response
The case has drawn attention from state leaders, including Governor Jared Polis. A spokesperson for the governor said the state takes allegations of waste, fraud, and abuse of taxpayer funds seriously and is prepared to hold those responsible accountable.
The investigation comes amid broader scrutiny of Medicaid oversight in Colorado. Earlier concerns about overpayments to transportation companies led lawmakers to create a 10 member Commission on Medicaid during the most recent legislative session. The committee is scheduled to meet again on July 6.
Legal Dispute
Ownership of On Going Home Health Care is also the subject of a lawsuit in Arapahoe County. Founders Seska Bell, Kopila Dhungana, and Roy Gultom are disputing control of the business and its profits. Gultom has said he was unaware of “The Program,” while Bell and Dhungana have declined to discuss it. The case is scheduled for trial in October.
The Medicaid suspension coincided with a nationwide health care fraud enforcement effort announced by the U.S. Justice Department, which charged hundreds of individuals in cases involving alleged false claims totaling billions of dollars.
About 1.3 million Coloradans are enrolled in Medicaid through Health First Colorado, including more than 330,000 low income adults without dependent children.
FAQs
What is “The Program”?
An Aurora based housing and home health care arrangement.
Why were NDAs reportedly required?
Participants said they were told to sign or risk eviction.
Which agency was suspended from Medicaid?
On Going Home Health Care.
Who is investigating the program?
State agencies and the FBI.
How many people use Medicaid in Colorado?
About 1.3 million residents statewide.
