Another whistleblower sues Planned Parenthood claims the tax funded abortion giant is guilty of Medicaid Fraud

The Alliance Defending Freedom(formerly the Alliance Defense Fund) is representing Sue Thayer, a former Planned Parenthood of the Heartland Clinic manager in a lawsuit filed in March, 2011. The complaint by law was not allowed to be made public until a court unsealed it which happened recently. The ADF attorneys filed suit under a federal law that allows “whistleblowers” with inside information to expose fraudulent billing by government contractors.


Thayer, who is a former manager of Planned Parenthood’s clinics in Storm Lake, IA and LeMars, IA has sued under both the federal and Iowa False Claims acts. The suit alleges that Planned Parenthood knowingly committed Medicaid fraud from 2002 to 2009 by improperly seeking reimbursements from Iowa Medicaid Enterprise and the Iowa Family Planning Network for products and services that were not legally reimbursable under those programs.

Thayer in the lawsuit alleges that Planned Parenthood of Greater Iowa, now known as Planned Parenthood of the Heartland, filled nearly 500,000 false claims with Medicaid from which Planned Parenthood received and retained nearly $28 million. If the court rules in favor of Thayer, Planned Parenthood of the Heartland could be ordered to pay both the federal and Iowa governments as much as $5.5 billion in False Claims Act damages and penalties.

In the lawsuit, Thayer alleges that in order to enhance revenues, Planned Parenthood implemented what is called the “C-Mail” program which automatically mailed a year’s supply of birth control pills to women who had only been seen once at a Planned Parenthood clinic. Those women, the lawsuit explains, were usually seen by personnel who were not qualified health care professionals.

Planned Parenthood’s cost for a 28-day supply of birth control pills mailed to clients was $2.98, but Thayer asserts that the actual Medicaid reimbursement received by Planned Parenthood was $26.32. After being seen only once clients were mailed thousands of unrequested birth control pills. The lawsuit also alleges that when the Postal Service returned the pills in some cases Planned Parenthood would resell the same birth control pills and bill Medicaid again instead of crediting Medicaid or destroying the pills.

Read Rest Here

In a Washington Times Op-ed penned by Sue Thayer, the Planned Parenthood whistle blower states, “So what does Planned Parenthood, the “trusted friend of women,” love so much about telemed abortions? Low overhead costs. My superiors justified telemed abortions, lauding the financial benefits of not having to worry about or pay for specialized equipment, staff and a traveling physician – all required with surgical abortions. When I expressed my concerns, I was “let go,” supposedly because of ‘downsizing.’ ”

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And in Texas…..According to a Lufkin Daily News Article entitled: Former Lufkin clinic employee alleges fraud in suit against Planned Parenthood

Planned Parenthood Gulf Coast is a defendant in a federal lawsuit after a former Lufkin clinic employee alleged a multi-million-dollar billing scheme.

The complaint names Karen Reynolds as the whistle-blower in the allegations brought against her former employer of 10 years.

The updated complaint, filed in October 2011, alleges that while Reynolds was employed as a health center assistant, she was instructed by the organization to maximize billing revenue when the government was fitting the bill through Medicaid and the Women’s Health Program.

She claims this was the procedure in all 12 Planned Parenthood Gulf Coast locations across Texas and Louisiana.

The suit alleges that, in addition to falsifying patient records, billing the government for unwarranted services and services not covered by Medicaid, Planned Parenthood tacked on services patient did not receive.

An example given in the suit is Medicaid being billed for birth control counseling. The suit states almost all Women’s Health Program and Medicaid patients were handed a bag of at least two birth control devices despite the fact the items were not needed or requested by the patient.

“Pursuant to corporate policy and instructions from clinical directors, after merely handing the patient a bag of condoms and vaginal film on the way out the door, clinic employees then entered billing codes to be submitted to the government” at an average billed cost of $57.85.

If Planned Parenthood Gulf Coast loses the case set for trial in April 2013, Reynolds, the federal government and the state of Texas will be owed a sum of money by the corporation known for family planning and women’s health issues.

Reynold’s attorney Mike Love said the case is in its early stage. While he said he was reluctant to comment on the case due to its magnitude, Love said on the behalf of his client, “if an entity is not billing properly, it doesn’t matter if it’s Planned Parenthood, a large hospital facility or a local doctor’s office — fraud is fraud.”
A phone call to an attorney representing Planned Parenthood was not returned as of 5 p.m. Friday.

Read Complaint Here

READ: Whistleblower alleges Texas Planned Parenthood committed massive Medicaid fraud
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According to the ACLJ who is representing another Planned Parenthood whistleblower:

P. VICTOR GONZALEZ, has accused the Planned Parenthood (PP) affiliates in California of also marking up the supposed cost of various birth control drugs when seeking government reimbursement, resulting in tens of millions of dollars of overbilling-at taxpayer expense.

Read that complaint here

Also READ: Many reasons to INVESTIGATE abortion giant Planned Parenthood – spelled out in gruesome detail!

READ: Many reasons to defund Planned Parenthood: eugenics, racism, abortion, audits, misappropriation of funds, Medicaid billing practices, hiding sexual predators

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