State to revoke license of United Youth Care Services in Greensboro over alleged Medicaid housing scheme

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GREENSBORO, N.C. — The state plans to pull the license of United Youth Care Services, according to a notice from the North Carolina Department of Health and Human Services.

The letter was addressed to Sandra Grace, the clinical director of the Greensboro mental health and substance abuse facility, on Jan. 15.

According to the letter, United Youth Care Services violated licensing rules and the rights of clients with mental health, developmental disabilities and substance abuse issues.

The facility was under investigation after the state reportedly discovered that the CEO and clinical director of the group orchestrated an elaborate scheme to get Medicaid reimbursements for treatments that were not properly documented, falsified or not provided.

The clients said they were told to lie about being on drugs to get housing, and the apartments they were placed in were in bad shape.

United Youth Care Services has 60 days from when the letter was sent to appeal.

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