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Owner of Henry County Personal Care Home Sentenced to Prison for Falsely Claiming to be Registered Nurse

PRESS ADVISORY

Owner of Henry County Personal Care Home Sentenced to Prison for Falsely Claiming to be Registered Nurse

August 23, 2013

On August 19, 2013, Madeline Laruy entered a non-negotiated guilty plea to one count of Medicaid Fraud and one count of False Statements and Writings in Henry County Superior Court. Judge Wade Crumbley sentenced Laruy to 180 days in prison, followed by four and a half years probation. Laruy was also ordered to pay $61,346.07 in restitution for Georgia Medicaid payments fraudulently obtained between May 1, 2009 and April 23, 2012. 

Laruy owned and operated The Caring Place, Inc., doing business as Walnut Creek Manor in McDonough, Ga. The personal care home housed both Medicaid recipients and private individuals. Over the course of three years, Laruy presented herself as a registered nurse (RN) to patients, patient families, and regulatory agencies when in fact she was not. Medicaid regulations require recipient files to be reviewed and signed by a nursing supervisor on a monthly basis. Laruy would sign these documents falsely claiming to be an RN, and then submit claims to Georgia Medicaid for improper reimbursement.

Laruy admitted to fraudulently signing documents as a supervising nurse and to altering nursing credentials which were provided to members of the Department of Community Health during an on-site audit.

Assistant Attorney General Jim Mooney prosecuted the case on behalf of the State of Georgia. The investigation was conducted by Medicaid Fraud investigator Matthew Rouse, nurse investigator Donna Wills, forensic auditor Kim Smith and intelligence analyst Kirste Young.