The federal government has grown increasingly effective at Medicare fraud recovery, but state Medicaid programs lag behind, according to two studies released today. In the case of Medicare fraud recoveries, the federal government's return on investment improved to nearly 9-to-1 in 2001 from 8-to-1 in 2000, according to a study by Jack Meyer, president of New Directions for Policy, Washington, a research and analysis firm. Medicare fraud recoveries from healthcare providers grew 71% to $1.2 billion in 2001, while enforcement costs increased 6.3% to about $72.8 million. State Medicaid fraud collections, however, totaled only $43 million in 2001. And the federal government, which recovered $2.85 billion from Medicare fraud from 1997 to 2001, collected only $115 million in Medicaid fraud recoveries during the same period, according to a separate study by Andy Schneider, a principal with Medicaid Policy, Washington, a consulting firm that advises providers, foundations, states and others on Medicaid issues. -- by Mark Taylor
Medicare's fraud recoveries far exceed Medicaid's
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