State Kickback Ban Closes Medicaid Gap

Updated: 2026.04.04 1H ago 1 sources
Investigative reporting in Minnesota exposed systematic billing inflation and alleged referral kickbacks at large addiction‑treatment providers. In response, the state enacted a statute criminalizing kickbacks and tightened billing rules to stop hour‑padding and duplicative claims. — State‑level fixes to legal and billing loopholes can materially reduce Medicaid fraud, protect vulnerable clients, and save taxpayer money while revealing limits of federal-only enforcement.

Sources

KARE 11 Investigates: Tackling fraud, Minnesota lawmakers pass key reforms | kare11.com
2026.04.04 100% relevant
Minnesota lawmakers passed a new prohibition on kickbacks and addressed midpoint/overlapping billing after KARE 11 uncovered NUWAY’s 35‑minute scheduling trick and overlapping hour claims that inflated payments by about 25% and drew DOJ scrutiny.
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