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May 16, 2019

Sturbridge home health agency owner convicted of stealing $2.5M

Photo | State House News Service Attorney General Maura Healey

Worcester home health agency Lifestream Healthcare Alliance and its owner, Hellen Kiago of Sturbridge, have been convicted of stealing approximately $2.5 million from MassHealth, which is Massachusetts’ Medicaid program.

Kiago was indicted in 2017 after an investigation by the state Attorney General’s office. In a larger attempt to combat fraud in the home health industry, the AG investigated Lifestream after several former employees alleged misconduct and fraudulent billing practices.

After a 10-day trial, Lifestream and Kiago were both convicted of four counts of Medicaid false claims and one count of larceny over $250 by false pretense.

Kiago and Lifesteam were found to be billing MassHealth for unauthorized services. Kiago directed employees to provide patients with hours beyond those deemed medically necessary and to falsify documents to hide wrongdoing. This included forging physician signatures and creating false corrective orders. 

Sentencing will occur on May 24th.

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