Crime

Shock Claim: Whistle-Blower Says Planned Parenthood Clinics Defrauded Gov’t to Pay for Abortion-Related Services

Planned Parenthood Gulf Coast Accused of Medicaid Abortion, Womens Services FraudPlanned Parenthood continues to find itself in the midst of controversy. Karen Reynolds, a former employee at one of the organization’s Lufkin, Texas, clinics, has blown the whistle on an alleged multi-million-dollar billing scheme.

Reynolds, who worked as a health center assistant for the clinic from 1999 until 2009, claims that she was instructed to help the organization bring in optimal revenue by falsifying records. In the end, this purportedly enabled the organization to extract monies from Medicaid and the Women’s Health Program for services that were never granted.

According to Reynolds, this was the procedure that staff followed in all 12 Planned Parenthood Gulf Coast clinics in both Texas and Louisiana. The Lufkin News reports:

The suit alleges that, in addition to falsifying patient records, billing the government for unwarranted services and services not covered by Medicaid, Planned Parenthood tacked on services patient did not receive.

An example given in the suit is Medicaid being billed for birth control counseling. The suit states almost all Women’s Health Program and Medicaid patients were handed a bag of at least two birth control devices despite the fact the items were not needed or requested by the patient.

Planned Parenthood Gulf Coast Accused of Medicaid Abortion, Womens Services Fraud

Image Credit: JillStanek.com

After giving these bags out, the lawsuit alleges that the condoms and vaginal film present within the packages were billed to the government for a cost of $57.85. This action was apparently purposeful, as Reynolds claims that employees were taken through “PowerPoint” sessions on how they could most efficiently defraud taxpayers.

Pro-life writer Jill Stanek quotes some sections of the complaint (read the entire document here):

The scheme included the express policy of billing these government health care programs for a predetermined list of reimbursable services for every eligible patient who visited the clinic, regardless of whether those services were medically necessary or ever actually provided to the patient….

PPGC policy regarding which medical services to provide and bill for depended in large part on who was paying the bill…. [S]elf-pay patients were provided services based on medical necessity. WHP, Medicaid, and Title XX patients, however, were provided a series of predetermined services based on what those programs would pay for with the result that patients covered by government health programs were often provided services on an “across the board” basis even when such services were not medically necessary.

Another, more startling portion alleges that the organization billed the government for abortion services:

One notable example of this practice relates to PPGC policies for obtaining payment for abortion-related services. WHP, Medicaid, and some other government programs do not allow payment for abortion-related services including “follow-up visits” after an elective abortion procedure. The following is a direct quote from a staff meeting memorandum given to clinic employees

January 22, 2009:

POST AB VISITS: We must work these clients in! This visit is self-pay. Quote the self-pay price then ask if she needs any other services such as birth control. If she is interested, screen for WHP or Title XX and offer the WWE [Well Woman Exam]. If the client is getting on birth control make this the focus of the visit and put a note in the chief complaints that the client had a surgical or medical abortion “x” weeks ago

At the moment, the startling case is still in its early stages, as the trial isn’t set to unfold until April 2013. If Planned Parenthood Gulf Coast loses the case, it will need to pay the federal government and the state of Texas a lump sum for the alleged actions.

You can read more about this case here.

Comments (104)

  • bernbart
    Posted on February 13, 2012 at 1:00pm

    A non story. This woman was proved fraud long ago.

    Report Post »  
    • 13th Imam
      Posted on February 13, 2012 at 1:04pm

      If Burnt Bart says it’s bogus, SHE”S DEAD ON CORRECT.

      Report Post » 13th Imam  
    • john luther
      Posted on February 13, 2012 at 1:16pm

      So you say it then its true .How can it be NON ISSUE when the court case has not been decided.Why doe anything about abortion trumbs the actual truth

      Report Post »  
    • Locked
      Posted on February 13, 2012 at 1:26pm

      @Bernbart

      Have any links to your claim that she’s a proven fraud?

      Only part that caught my eye is that this is from last autumn; I might be missing some updated information, but the story is from 2011. Is there something different from then?

      Report Post »  
    • AvengerK
      Posted on February 13, 2012 at 1:51pm

      That’s right BERNBART…just throw your muck out there like a good lefty troll.

      Report Post »  
    • AvengerK
      Posted on February 13, 2012 at 1:52pm

      Planned Parenthood should be defunded and it will be.

      Report Post »  
    • Stoic one
      Posted on February 13, 2012 at 2:37pm

      Please provide link (s) to back up your claim.

      Report Post » Stoic one  
    • Fried Okra
      Posted on February 13, 2012 at 3:54pm

      @bernbart: Typical left tactic. Troll and run along. Please share with us with the facts you possess.

      Working for media matters/moveon/soros/gutter snipe.inc ?… getting paid to muddy up the waters here at the blaze.

      Report Post » Fried Okra  
    • AvengerK
      Posted on February 13, 2012 at 4:14pm

      You have to remember…when a lefty says a story has been “debunked” it usually means Media Matters or Huffpo released some nebulous, unprovable drivel deeming it “debunked”. Many times the “debunker” can be traced back as some lefty blogger who had no evidence of anything, just his own ranting.

      Report Post »  
    • SLAPTHELEFT
      Posted on February 13, 2012 at 4:20pm

      We can just settle this by sending in the new truth teams.

      Report Post » SLAPTHELEFT  
    • SLAPTHELEFT
      Posted on February 13, 2012 at 4:21pm

      Bernie- Alinsky is an old dead white guy.

      Report Post » SLAPTHELEFT  
    • SLAPTHELEFT
      Posted on February 13, 2012 at 4:23pm

      And you are a non factor, bernie.

      Report Post » SLAPTHELEFT  
    • ReallyAUnionGuy
      Posted on February 13, 2012 at 8:06pm

      What an organization that murders innocent unborn babies doesn’t have the integrity not to commit fraud??????? Say it is not so……….. You will find fraud all around planned parenthood ( we should just call it what it is ….. Planned non-parenthood)…… They murder babies….. No surprise here!

      Http://www.firefightersforfreedom.blogspot.com

      Report Post »  
    • Adorno
      Posted on February 13, 2012 at 8:41pm

      Why is this site constantly recycling old stories and presenting them as if there has been a new development, which is never the case? Seriously, does your staff just comb old posts from other sites for inflammatory material and then present it as if it was your scoop? It’s pretty sad, but just exactly what we‘ve come to expect from a morning zoo guy who thinks he’s the Messiah.

      Report Post » Adorno  
    • 4truth2all
      Posted on February 15, 2012 at 10:21am

      This organization should not get a cent of tax dollars anyway.

      Report Post »  
  • NatalieF
    Posted on February 13, 2012 at 12:57pm

    Planned Parenthood frequently performs abortions and just codes them as a D&C, a procedure that is covered by Medicaid.

    Report Post » NatalieF  
    • Oh, God!
      Posted on February 13, 2012 at 2:46pm

      D&C’s are typically performed when the baby has died early on. And yes it is a medical procedure. It is similar to an abortion, just under anesthesia and the baby is already deceased. I unfortunately had one with my first miscarriage. Worst feeling in the world, even though I knew our baby had died. With my other losses, I chose to take antibiotics to make sure there would be no risk of infection.

      Report Post » Oh, God!  
    • Chuck Stein
      Posted on February 13, 2012 at 2:55pm

      This story reminds me of Ed Asner when he was President of the Screen Actors Guild. He sent union money to the Sandanistas in Nicaragua. It was for “medical supplies” — not bullets to kill Freedom Fighters. Sure. And even IF there was no money spent on killing, the Sandanistas could divert money from their medical budget to weapons. The whole idea of segregation of funds is a joke — you need to look at the organization as a whole. As a whole, Planned Parenthood is bad news.

      Report Post »  
    • Miguelito
      Posted on February 14, 2012 at 8:15am

      Just from my experience from working in a hospital, D&Cs were performed for their original intent but also for abortions. We had a PR person at the hospital that was outside the hospital giving an interview with the local TV station making the statement that the hospital did not perform abortions while at that very time abortions were being performed in OR. It appears that if Obama is associated with an individual or organization unlawful activity is happening. Obama and his administration is the most corrupt in history and they think they are getting away with it!

      Report Post »  
  • wthdx
    Posted on February 13, 2012 at 12:55pm

    This story is from last October?

    Report Post »  
    • Locked
      Posted on February 13, 2012 at 1:24pm

      Yes, it’s a few months old. Trial won’t be until next year.

      Report Post »  
  • Dan_o
    Posted on February 13, 2012 at 12:55pm

    The only thing shocking about this claim is the statement about defrauding the gov’t. If they were defrauded, they are dumber than they look.

    Report Post » Dan_o  
  • SilentReader
    Posted on February 13, 2012 at 12:51pm

    Why am I not surprised that these Planned Parenthood clinics are defrauding the government? After all, they were started by Margaret Sanger, a huge Fabian Socialist and Progressive (progressing us toward tyranny and death by government, that is) who hated blacks and wanted to get rid of them and so she thought what better way than to start these government-run birth control centers, and she did!

    That these Planned Parenthood clinics are milking the government for everything they can get wouldn’t be shocking. After all, this has been standard procedure in most government-run clinics for a very long time because there‘s no accounting when they provide a service to a woman and she’s not allowed to see the way they bill the government to see if it correct and what they are billing the government for was actually provided to her to begin with!

    What is shocking, though, is that they are so blatant about it as to provide employees with “PowerPoint” sessions “on how they could most efficiently defraud taxpayers.”

    Shutting down all these government-run Planned Parenthood clinics would be advisable. Of course, now that we have Obamacare everything will be government-run and we can expect much more of the same, and much more corruption for sub-standard care to boot! Nothing ends up good when big government runs it!

    Obama = Big tyrannical and oppressive sub-standard taxpayer-paid-for and government-run monstrosity.

    Report Post » SilentReader  
    • Stoic one
      Posted on February 13, 2012 at 2:36pm

      I am not for shutting them down. Just stop giving /paying them with taxpayer dollars. Do that I am fine with them. { oh according to pph‘s own doc’s that would be 46% of their budget -gone}

      Report Post » Stoic one  
    • toto
      Posted on February 13, 2012 at 3:23pm

      The real lesson here, other than the obvious, is that government run, supported health care will be crooked, inefficient and UNHEALTHY!

      Report Post »  
    • 2theADDLED
      Posted on February 13, 2012 at 5:03pm

      Government programs have no oversight no one watch dogging of these programs to actually see if they are legit. Who cares it’s only tax payer money and we know how to get more tax payer money just raise more taxes. We could hire a few auditors to protect the taxpayers and possibly save billions.

      Report Post »  
  • RodT82721
    Posted on February 13, 2012 at 12:51pm

    It’s no surprise that PP, the baby killing corporation, feeding from the tax payer trough, is defrauding. I would be surprised if they weren’t!
    Another surprise would be if Congress, that is spending twice their revenues, and were unable to find any place to cut, even in the projected increases, decided to stop giving money to a left wing baby killing project. Now that would be news!

    Just a week ago the left came unglued because a private charity decided to withhold some funds from PP and all the usual leftist, in our government, came out on the war path!
    Demanding more money for the killing to continue unabated and at tax payer expense is now a right.

    Report Post »  
  • OklahomaBound
    Posted on February 13, 2012 at 12:44pm

    “If Planned Parenthood Gulf Coast loses the case, it will need to pay the federal government and the state of Texas a lump sum for the alleged actions.”

    They better end up paying a lot more than just the money they stole, like multi-millions in legal penalties, being dropped from any kind of tax payer funded aid, and of course prosecutions for those responsible. Of course none of this will happen while their commie friends are in charge of the government so prosecutors may as well delay charges until after the next election so the current In-Justice Department can once again become the Justice Department so actual justice can be done.

    Report Post » OklahomaBound  
  • TexBork
    Posted on February 13, 2012 at 12:41pm

    Leftists using sex to defraud the taxpayers is nothing new and if we go back and look at why Margret Sangar began Planned Parentless ‘Hood is was precisely for racial reason of the sickest way imaginable. It’s time to cut off the free money to the baby butchers and their management. Let abortion supporters pay for the killing buildings and those who wield the knives and instruments of death. Let them celebrate abortion with their own income and funding. US citizens should never be forced to pay for it ever against their will. Only dictators demand such a thing.

    Report Post » TexBork  
    • Stoic one
      Posted on February 13, 2012 at 2:42pm

      On a more ‘stoic’ point the Constitution does not define this as a duty of the federal gov’t; therefore fed funds should NOT be spent this way.
      Let pph survive just like Walmart

      Report Post » Stoic one  
  • Virginia Joe
    Posted on February 13, 2012 at 12:39pm

    Is anyone really surprised that Planned Parenthood is doing this sort of thing?
    How many doctors have defrauded Medicare/Medicaid for services that were never rendered?

    The Tax Payer has been taken to the cleaners, since the genesis of these programs.
    Greedy people are always looking for “Free Money” …

    Report Post »  
    • bruce_baker
      Posted on February 13, 2012 at 1:19pm

      Right, and having unconstitutional government action just opens up new avenues for corruption that wouldn’t exist if we forced them to stick with only what the Constitution allows! End the Fed! End the Federal Dept. of Education so they can‘t teach our children that it’s OK to kill babies! End the Dept. of Health and Human Services, so there won’t be an agency to give money to baby killers. Attack the root of the problem, don’t just treat the symptoms (fraud).

      Report Post » bruce_baker  
  • Melvin Spittle
    Posted on February 13, 2012 at 12:39pm

    Shut this evil organization down now, ok?

    Report Post » Melvin Spittle  
    • bruce_baker
      Posted on February 13, 2012 at 1:21pm

      “Shut this evil organization down now, ok?”

      Go ahead. Tell them I said it was OK.

      Report Post » bruce_baker  
    • Melvin Spittle
      Posted on February 13, 2012 at 1:31pm

      I just needed some consensus. Do you think I should demand that it be done by close of business today, or first thing in the morning?

      Report Post » Melvin Spittle  
    • RJJinGadsden
      Posted on February 13, 2012 at 2:09pm

      COB would be nice.

      Report Post » RJJinGadsden  
  • wrecklessdischarge
    Posted on February 13, 2012 at 12:38pm

    Another reason to support Ron Paul who would get all government money out of Planned Parenthood.

    Report Post »  
    • go2mikerenzi
      Posted on February 13, 2012 at 4:21pm

      Paulaholics think a splinter in their finger is a good reason to vote for L Ron Paul…..

      Report Post » go2mikerenzi  
  • Just in time
    Posted on February 13, 2012 at 12:36pm

    You play, You pay. Not the tax payer

    Report Post »  
    • The Jewish Avenger
      Posted on February 13, 2012 at 1:40pm

      Boy, I wish they’d grab that concept…

      They’re slogan is “It’s not fair!… PAY FOR IT!”

      Report Post » The Jewish Avenger  
  • Rowgue
    Posted on February 13, 2012 at 12:34pm

    As if this surprises anyone. The only reason the organization exists is to provide abortions. The rest of what they bill for has been a fraud since day one. They’ve never provided health care services.

    Report Post »  
    • objectivetruth
      Posted on February 13, 2012 at 4:32pm

      Actually in my area they do well women care and standard birth control.They in fact don’t provide abortions.They refer the women to a advanced medical unit or outpatient surgery center for abortion d and c and d and e.Whether due to pregnancy or other causes.The other causes is also one of the reasons they refer them outside of the clinic.

      Report Post »  
  • FaithfulFriend
    Posted on February 13, 2012 at 12:34pm

    They kill babies inside their mothers and call it a health issue. Animals don’t do this, so what does that make them? Evil.

    Report Post » FaithfulFriend  
  • KickinBack
    Posted on February 13, 2012 at 12:33pm

    Abortion isn’t much of a “Planned Parenthood.” Sounds like a pseudo oxymoron to me.

    Report Post » KickinBack  
    • ron2win
      Posted on February 14, 2012 at 10:02am

      You can be rest assured any name the lybrils come up with for any kind of program will sound benevolent.But in fact will truly be the opposite of which it really is.

      Report Post »  
  • RealLifeCalling
    Posted on February 13, 2012 at 12:33pm

    So PP is run by crooks. Noooooooooooo Duuuuhhhhhhhh!!!!!

    Report Post »  
  • HorseCrazy
    Posted on February 13, 2012 at 12:30pm

    really anyone is surprised by this needs their head checked. go figure those in the business of killing babies and covering up sexual abuse of children aren’t ethical in business and billing practices.

    Report Post »  
  • The_Jerk
    Posted on February 13, 2012 at 12:30pm

    Why should American tax dollars be going to Planned avoiding-Parenthood at all?

    Report Post »  
  • Rickfromillinois
    Posted on February 13, 2012 at 12:25pm

    Don’t expect much from this. The Democrats are not going to allow the Government to go after PP. It’s one of their “golden” organizations and they are not going to allow anybody to do anything that might cause PP any problems.

    Report Post » Rickfromillinois  
  • Theleftisda
    Posted on February 13, 2012 at 12:25pm

    Like we did not know that was happening/murder paid for by you and I

    Report Post » Theleftisda  
  • I.Gaspar
    Posted on February 13, 2012 at 12:24pm

    Karen Reynolds may want to keep an eye out for drones.

    Report Post »  
  • Robert-CA
    Posted on February 13, 2012 at 12:23pm

    There’s no way you can defraud a government agency ?!?!?!?!?!
    A woman in Los Angeles defrauded cops & medicare 132 times for hit & run , all of her claims are the same story , as a pedestrian a car hit her on an intersection & drove away .
    Yes 132 times & no one cared to investigate her claims .
    Cops started investigating after her 86th fake hit & run .
    She ended up costing tax payers $228000 & she got from medicare $90K to pay her bills but instead she spend it on her .
    Fraud is everywhere in the government cause nobody cares , the only thing they care for is their paycheck & pension .
    in this case the horrible part is that their using the money to :
    KILL BABIES !!!!!!!!!!!!!!!!!!!!!!!!!!!!!

    Report Post » Robert-CA  
  • DAVIDE1333
    Posted on February 13, 2012 at 12:23pm

    Oddly enough, I am not shocked.

    Report Post »  
    • AmazingGrace8
      Posted on February 13, 2012 at 12:40pm

      Here is my shocked-look..HUH! (the e-trade baby) Really, nothing surprises me what people do. Disgusting!

      Report Post »  
  • randy
    Posted on February 13, 2012 at 12:18pm

    DEFUND the NOW!

    Report Post » randy  
  • thegreatcarnac
    Posted on February 13, 2012 at 12:17pm

    Is that a surprise? People who live and beathe to kill babies will not be trustworthy in everything else.

    Report Post »  

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