Local business CEO accused of various forms of fraud
When governments and insurers realized more than a decade ago that providing palliative care for the indigent and elderly in their homes was more cost effective than doing so in hospitals or nursing facilities, Arlinda Dickins Moriarty saw an opportunity and capitalized on it—so much so that what started as a basement business in 2000 has grown to multiple care and health service companies employing 700 people doing business in three states under contracts worth more than $84 million in the last five years alone.
But now, the U.S. Government is alleging that $1.8 million of those proceeds were obtained fraudulently via schemes that included billing Medicare for services provided to nonexistent or deceased patients, billing for care provided by phantom employees, and making her sister the “owner” of a company created to circumvent a change in state law.
On April 12, U.S. Attorney for the Western District of Pennsylvania Soo Song’s office filed a 28-page lawsuit asking to freeze bank accounts belonging to Moriarty, her sister Daynelle Dickins and five of Moriarty’s companies while it continues a criminal investigation.
That request was granted by U.S. District Judge Cathy Bissoon. She also authorized a search warrant for Moriarty’s main offices at Moriarty Consulting Services that was executed by multiple federal and state agencies.
Moriarty has denied the charges, and after Bissoon rescinded the banking account freeze, Moriarty spoke exclusively with New Pittsburgh Courier reporter Diane I. Daniels. Moriarty said the accusations are untrue and that—while her company, MCI, can again conduct business—they have damaged the company’s reputation in the industry and are costing it money.