Show-Me State Times

Missouri Attorney General Catherine Hanaway announced that a Cole County grand jury has returned indictments in four cases involving alleged Medicaid fraud in the St. Louis area. The combined value of fraudulent claims across these cases is over $230,000. The indictments follow investigations by the Office’s Medicaid Fraud Control Unit (MFCU).

“Medicaid fraud is stealing taxpayer resources and victimizing at-risk Missourians,” said Attorney General Hanaway. “These indictments show that our Office will not hesitate to hold accountable those who exploit the system for personal gain, whether it be individuals or companies, entrusted with caring for patients.”

The first case involves Sharon Cox, a licensed practical nurse employed by Harris Best Care, Inc., who is accused of submitting 220 false nursing reports between March 2021 and November 2023. The reports included fabricated patient information and records of visits that did not occur, resulting in over $11,000 in improper Medicaid payments. Investigators also found Cox was billing two providers simultaneously for services during overlapping periods. In 2011, her license was previously disciplined for similar misconduct.

The second case centers on Daja Cotton, owner of Trinity Cares LLC. From January 2023 through September 2024, Trinity Cares allegedly billed Medicaid for the maximum hours allowed under client care plans without supporting time records—a practice known as “billing from the care plan.” Cotton’s company received more than $141,000 through this scheme. In a recorded interview with investigators, Cotton admitted awareness of the fraudulent practices but continued them regardless.

In another case, Peggy Reed and her daughter Angel Sewell are accused of collaborating to defraud Medicaid while Sewell worked full-time at BJC Healthcare. They allegedly submitted claims showing Sewell providing in-home care while she was working hospital shifts; Reed performed little or no actual service but billed under Sewell’s name. This resulted in more than $61,000 paid out by Medicaid between January 2023 and June 2024.

A fourth indictment charges Sharon Jackson and Cheri Selmane with falsely billing Missouri Medicaid for home care services never provided. Jackson filed 182 false claims between May 2022 and December 2023 totaling more than $19,000. During times Jackson claimed to provide care at Selmane’s residence, Selmane was reportedly working as a security guard elsewhere; electronic visit records showed clock-ins from Jackson’s own home.

Attorney General Hanaway stated: “These cases, spanning from repeat-offender nurses, to family conspiracies, to corporate overbilling, show that Medicaid fraud comes in many forms, but the result is always the same: Missouri taxpayers and vulnerable patients suffer. Our Office will continue to pursue these cases aggressively, recover stolen funds, and ensure those responsible are held to account.”

Medicaid Fraud Control Unit Chief Counsel Arvids V. Petersons added: “Our team serves as a specialized law enforcement unit dedicated to protecting the integrity of Missouri’s Medicaid program and the safety of its most vulnerable citizens. The unit also investigates and prosecutes allegations for abuse and neglect in Missouri’s Long Term Care Facilities and other licensed facilities that care for Missouri’s most vulnerable.”

The MFCU investigates both financial fraud committed by providers within Missouri's Medicaid program as well as abuse or neglect occurring in facilities funded by Medicaid.

According to state data referenced by officials:

- The MFCU receives most of its funding—75 percent—from a U.S Department of Health & Human Services grant totaling nearly $3.6 million annually.

- The remaining quarter comes from Missouri state funds amounting to approximately $1.18 million each year.

Attorneys interested in public service roles related to prosecuting such cases can find current opportunities on the Attorney General's official website.