Office of the Attorney General
Former Lexington Medicaid Provider Pleads Guilty to Medicaid Fraud, Forgery Charges

Attorney General Jack Conway and his Office of Medicaid Fraud and Abuse Control today announced that a former Lexington Medicaid provider has pled guilty to Medicaid fraud and forgery charges. Irvin Smith, Jr. entered guilty pleas in Fayette Circuit Court today to one count of Medicaid fraud and three counts of second degree forgery. All are Class D felonies.

Smith, a behavior supports specialist, was the former owner, principal member/executive director and only employee of Irvco, LLC, a former provider in the Kentucky Medicaid SCL program. A SCL is a home through the Medicaid Community-based waiver program that serves as an alternative to institutional care for mentally challenged or developmentally disabled individuals.

"I appreciate the hard work of my Medicaid fraud investigators and prosecutors in bringing this case to a successful close," General Conway said. "Ensuring the safety of Kentucky's vulnerable citizens is a top priority for my office."

Pursuant to the plea agreement, the court placed Smith in the felony pretrial diversion program for five years and he would face imprisonment for a recommended period of three years if he violates the terms and conditions of his felony pretrial diversion. Smith must also register 150 hours of community service per year for five years. Additionally, Smith cannot seek expungement of the charges or the record in the case.

Irvco, LLC, the company that Smith owned, also entered a guilty plea to the charge of Medicaid Fraud, a Class D felony. As part of the guilty plea, Irvco, LLC must pay a $5,000.00 felony fine. Like Smith, Irvco, LLC cannot seek expungement of the charge or the record in the case.

The Attorney General's Office of Medicaid Fraud and Abuse Control launched its investigation following an investigation by the Office of the Inspector General into allegations that Smith falsified documentation related to tuberculosis testing, and First Aid and CPR training. Kentucky regulation requires that a SCL provider maintain documentation of each staff person's annual tuberculosis risk assessment or negative tuberculosis test, and that employees receive First Aid and CPR training.

Since Attorney General Conway took office in January 2008, his Office of Medicaid Fraud and Abuse Control has recovered or been awarded more than $210 million for the state and federal Medicaid programs. These cases range from lawsuits and settlements against pharmaceutical companies to cases against individual providers.