Tag Archives: District of Columbia

Federal inquiry targets Reston firm

Source: By Jim McElhatton, THE WASHINGTON TIMES, May 3, 2006

Federal authorities have begun a criminal investigation of Maximus Inc. in the wake of a lawsuit claiming that the Reston-based consulting giant overcharged the government tens of millions of dollars while working for the District’s foster care agency, unsealed court records and other official files show. The investigation follows a federal False Claims Act lawsuit that says Maximus lacked proper documentation for most of the more than $30 million in Medicaid claims the company prepared for the D.C. government, starting in 1999.

….. Maximus derives nearly 80 percent of its revenue from state and local contracts covering a broad range of government services, including tracking down deadbeat parents, managing child welfare programs and implementing public retirement benefit systems. The company finds itself in the wake of a management shake-up. It announced last week the firing of Chief Executive Lynn Davenport, citing unspecified conduct toward a former female employee.

Federal probe costly for firm

Source: By Jim McElhatton, THE WASHINGTON TIMES, February 22, 2006

A Reston-based company said it has spent $500,000 in legal costs for an internal review of its handling of Medicaid claims for the D.C. government in the face of an investigation by the U.S. Attorney’s Office. Maximus Inc. said the Criminal Division of the U.S. Department of Justice sought company records pertaining to the company’s work for the District, “primarily relating to the preparation and submission of federal Medicaid claims,” according to filings with the U.S. Securities and Exchange Commission. ….. The company first disclosed the investigation in 2004, saying in an SEC filing that it was confident the company had not broken any health care laws. ….. Maximus has contracted with the D.C. government for years. The company recently has won contracts to handle the District’s welfare-to-work program and to provide Medicaid billing services for the city’s public school system.