North Haven Counselor Admits Defrauding Medicaid of More Than $1.6 Million

Vanessa Roberts Avery, United States Attorney for the District of Connecticut, Robert Fuller, Special Agent in Charge of the New Haven Division of the Federal Bureau of Investigation, and Roberto Coviello, Special Agent in Charge of the U.S. Department of Health and Human Services, announced that RACHEL COLLINS, 44, of Hamden, waived her right to be indicted and pleaded guilty today before U.S. District Judge Sarala V. Nagala in Hartford to health care fraud.

According to court documents and statements made in court, Collins was a state-licensed professional counselor and owner of Rachel Collins, LPC Counseling Services LLC, located in North Haven.  Collins provided psychotherapy to children, adolescents, and adults, but particularly children and adolescents with a variety of behavioral and mental health issues.  She was enrolled individually as a Behavioral Health Clinician provider in the Connecticut Medicaid Program (“Medicaid”).

Between January 2018 and March 2024, Collins submitted and caused to be submitted fraudulent claims to Medicaid for psychotherapy services that were purportedly provided to his Medicaid clients.  Specifically, Collins submitted claims under her own billing and performing provider identification number for dates of service when no services of any kind had been provided to the Medicaid clients identified in the claims.  Collins submitted claims for purported dates of service when she was purportedly working as a full-time clinician for another provider; billed for 12 hours of purported services in a day and, in some cases, 24 or more hours in a day; submitted false claims for dates when she was traveling out of state, during national holidays, and on weekends; and submitted claims after she had stopped treating the claimed client, had never treated the claimed client, or the claimed client was in the hospital.

Through this scheme, Collins defrauded Medicaid of $1,647,031.51.  As part of her plea, Collins has agreed to pay full restitution.  She also has agreed to forfeit $114,085.55 that was seized from a bank account during the investigation.

Judge Nagala scheduled sentencing for October 30, at which time Collins faces a maximum term of imprisonment of 10 years.

Collins is released on a $100,000 bond pending sentencing.

This investigation has been conducted by the Federal Bureau of Investigation and the U.S. Department of Health and Human Services, Office of the Inspector General (HHS-OIG).

This case is being prosecuted by Assistant U.S. Attorney David T. Huang.

People who suspect health care fraud are encouraged to report it by calling 1-800-HHS-TIPS.