Madison Co. Woman Charged with TennCare Fraud

NASHVILLE, Tenn. – A Madison County woman is charged with TennCare fraud for falsely reporting her income in order to obtain healthcare insurance through the state insurance program.

The Office of Inspector General (OIG) today announced the arrest of Kristie Bailey, 39, of Jackson. She is charged with TennCare fraud and theft of property over $10,000. The charges accuse her of falsely reporting her household income to the state in order to obtain TennCare benefits she otherwise did not qualify to receive.

“Providing false information in order to receive TennCare benefits is a crime,” Inspector General Kim Harmon said. “We work hard to preserve TennCare resources for those truly in need.”

District Attorney General James Woodall is prosecuting.  TennCare fraud is a class D felony punishable by up to four years in prison. Theft of property over $10,000 is a Class C felony punishable by up to six years in prison.

The OIG, which is separate from TennCare, began full operation in February 2005 and has investigated cases leading to more than $3 million being repaid to TennCare, with a total estimated cost avoidance of more than $163.6 million for TennCare, according to latest figures. To date, 2,996 people have been charged with TennCare fraud.

Through the OIG Cash for Tips Program established by the Legislature, Tennesseans can get cash rewards for TennCare fraud tips that lead to convictions.  Anyone can report suspected TennCare fraud by calling 1-800-433-3982, toll-free, from anywhere in Tennessee; or log on to www.tn.gov/tnoig/ and follow the prompts that read “Report TennCare Fraud.”