State Attorney General says Carter ripped off Medicaid

Attorney General Greg Stumbo announced today that agents of the Kentucky Bureau of Investigation (KBI) executed a series of search warrants on the offices of Rocky Carter, owner of several eastern Kentucky rural health clinics and primary care centers.
According to KBI agents, Carter is alleged to have altered patient billing records to show more costly and involved services than were actually provided at his Corbin, Manchester, Williamsburg and Knox County facilities. These altered records, which cover claims from 1998 to the present, were then submitted to state Medicaid officials for reimbursement.
“The loss to the state from this scheme is estimated to have cost more than $200,000,” said Stumbo. “Every dollar stolen is a dollar that cannot aid an ill child or a senior citizen.”
Carter is presently on probation in Whitley County in connection to a guilty plea he entered in 2001 concerning charges that he violated the state insurance act.
On Nov. 12, 2000, a Whitley County grand jury indicted Carter on three counts of fraudulent insurance acts and on six counts of theft by deception.
The indictments alleged that in some cases Carter submitted fraudulent insurance applications to Anthem Blue Cross Blue Shield for people who weren’t actually employees of a particular business so they could receive the group rate.
The indictments alleged that from 1996 through 1998 Carter submitted fraudulent insurance applications to Anthem Blue Cross Blue Shield that deprived the company of $10,856.44.
Carter pleaded guilty Nov. 14, 2001 to a pair of amended charges in exchange for prosecutors recommending a two-year prison sentence, which would be probated for five years.
As part of the plea agreement, prosecutors agreed to dismiss the remaining charges against Carter, and Carter agreed to surrender his insurance license and make restitution.
A standard provision of all probation agreements is that the defendant not break any other laws.
In November 2004, a Whitley Circuit Court Jury acquitted Carter in connection with a theft-related charge.
The indictment alleged that Carter obtained $4,000 from Melissa Rollins on Oct. 28, 2003, for the purpose of investing the sum in an IRA account, but failed to do so, and instead converted the money for the use and benefit of others.
Anyone with additional information about Rocky Carter is urged to contact the KBI at 502-696-5405.