Rowan investigators looking into possible fraud after woman loses Medicaid benefits in sale of home

Published 12:00 am Wednesday, February 4, 2015

Rowan authorities are investigating after a woman in a nursing home reported her Medicaid benefits had been cut after her home was sold without her knowledge.

The woman, 73, is a resident of Liberty Commons and was notified by Medicaid that her funds would be terminated because she no longer qualified for the program.

She told law enforcement officials she’d authorized two relatives to oversee her financial affairs through a power of attorney. No charges have been filed, and neither the woman nor the relatives have been identified.

The woman’s Fry Street home was sold, but she did not receive any profits from its sale, said sheriff’s investigators. Even so, her Medicaid benefits were terminated Jan. 31, a report said.

Rowan officials said the Rowan Department of Social Services is also investigating.

According to Social Services officials, the Medicaid policy says the value of a homesite does not count as a resource for people who are in a long-term care facility but intend to return to their home. Once the home is sold, the money received for the home becomes a countable resource.

The federal government sets resource limits for individuals applying for Medicaid. If over the resource limit, the individual would not be eligible for Medicaid.

Contact reporter Shavonne Walker at 704-797-4253.