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Carlsbad (NM) Mental Health Center Placed Under New Management After Probe

By: Dylan Brooks
Updated: November 5, 2012
CARLSBAD, NM -- A New Mexico mental health center that's being investigated for possible Medicaid fraud is now being run under new management.

    According the The Carlsbad-Current Argus, Roswell-based Counseling Associates Inc. assumed control of the Carlsbad Mental Health Center Monday.

    The change in management comes a week after investigators with the New Mexico Attorney General's Office and Eddy County Sheriff's deputies executed a search warrant at the Carlsbad Mental Health Center.

    Investigators reportedly confiscated a computer and 10 binders containing Medicaid supervision notes from the center during the raid -- which happened around 5 PM (MDT) on October 29th.

    The investigation is reportedly centered around allegations of illegal double billing.

    Employees at Carlsbad Mental Health Center reportedly were told to pill Medicaid for psychosocial rehabilitation hours and comprehensive community support services at the same time -- even though billing for both is illegal.

    The investigation was ongoing Monday.

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