$60 Million Fraud Scheme Unveiled
Arizona Attorney General Kris Mayes announced charges against 22 individuals and businesses, including Pastor Theodore Mucuranyana and Hope of Life International Church, for allegedly defrauding the state’s Medicaid program out of $60 million. The indictment accuses the group of submitting false mental health and addiction treatment claims, some involving patients who were dead, jailed, or hospitalized.
Alleged Role of Pastor and Church
Mucuranyana and his Glendale-based church face 10 felony counts of money laundering. Prosecutors claim the church laundered fraudulent Medicaid payments by funneling them through Happy House Behavioral Health LLC, a company allegedly run by Desire Rusingizwa and Fabrice Mvuyekure, who are accused of being ringleaders. Two major checks totaling $5.5 million were allegedly laundered through the church in 2023, with $2 million later wired to an unnamed entity in Rwanda.
Church’s Denial and Defense
Mucuranyana and other key defendants pleaded not guilty in Maricopa County Superior Court. The pastor’s attorney, Joshua Kolsrud, condemned the charges as politically motivated and lacking evidence. He argued that the pastor merely rented out church property and had no involvement in the fraudulent activity. Kolsrud criticized the prosecution for targeting a church, warning that it undermines public trust.
Widespread Sober Living Home Fraud
The case is part of a broader investigation into fraudulent sober-living homes in Arizona, many of which exploited the American Indian Health Plan. These scams have disproportionately affected Native Americans and cost taxpayers billions. The health plan lacked oversight, allowing scammers to bill for non-existent services and manipulate vulnerable individuals, including by forcing them to use drugs.
Ongoing Investigation and Recoveries
The Arizona attorney general’s office has described the situation as one of the largest fraud crackdowns in state history. Over 100 people have been charged, and authorities have recovered $150 million. A pretrial conference for Mucuranyana and his co-defendants is scheduled for July.
Source:
Phoenix Pastor and Church Indicted in $60 Million Medicaid Scam
Photo by Markus Winkler on Unsplash
About Post Author
