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08/07/2024 01:24 PMPress Release from U.S. Department of Justice; United States Attorney, District of Connecticut
On Aug. 7, Rachel Collins, a 44-year-old Hamden resident who owned a business in North Haven, waived her right to be indicted and then pleaded guilty to health care fraud before U.S. District Judge Sarala V. Nagala in Hartford. Collins’s decision to plea was announced by Vanessa Roberts Avery, United States attorney for the District of Connecticut; Robert Fuller, special agent in charge of the New Haven division of the Federal Bureau of Investigation (FBI); and Roberto Coviello, special agent in charge of the U.S. Department of Health and Human Services.
According to court documents and statements made in court, Collins was a state-licensed professional counselor and owner of Rachel Collins, LPC Counseling Services LLC in North Haven. Collins provided psychotherapy to children, adolescents, and adults, but particularly children and adolescents with a variety of behavioral and mental health issues. She was enrolled individually as a behavioral health clinician provider in the Connecticut Medicaid program.
Between January 2018 and March 2024, Collins submitted and caused to be submitted fraudulent claims to Medicaid for psychotherapy services which were purportedly provided to her Medicaid clients. Specifically, Collins submitted claims under her own billing and performing and provided identification numbers for dates of service when no services of any kind had been provided to the Medicaid clients identified in the claims. Collins submitted claims for purported dates of service when she was purportedly working as a full-time clinician for another provider; billed for 12 hours of purported services in a day and, in some cases, 24 or more hours in a day; submitted false claims for dates when she was traveling out of state, during national holidays, and on weekends; and submitted claims after she had stopped treating the claimed client, had never treated the claimed client, or the claimed client was in the hospital.
Through this scheme, Collins defrauded Medicaid of $1,647,031.51. As part of her plea, Collins has agreed to pay full restitution. She also has agreed to forfeit $114,085.55 which was seized from a bank account during the investigation.
Judge Nagala scheduled sentencing for Wednesday, Oct. 30, at which time Collins faces a maximum term of imprisonment of 10 years.
Collins was released on a $100,000 bond pending sentencing.
This investigation has been conducted by the FBI and the U.S. Department of Health and Human Services, Office of the Inspector General.
This case is being prosecuted by David T. Huang, assistant U.S. attorney.
People who suspect health care fraud are encouraged to report it by calling 1-800-HHS-TIPS.