For Immediate Release:
February 16, 2006
Contact: Deborah Scott
(573) 751-4815
Jefferson City - The Department of Social Services Special Investigation Unit (SIU) has completed its investigation into allegations of fraud by at least two contractors with the Independent Living Program. Social Services investigators documented substantial evidence that potential fraud occurred and have referred the case to the federal prosecutor for evaluation.
The Special Investigation unit receives referrals from staff, supervisors and managers who are monitoring internal reports on an ongoing basis for the department's various programs. Recently, the SIU completed its investigation into a staff referral alleging that two contractors and an employee/s of the department might be defrauding the Independent Living Program, a program designed to assist young people aging out of the foster care system in gaining the skills necessary to live on their own.
The investigation found that the contractors and employee/s allegedly channeled over $90,000 for services provided to foster children to corporations, which did not provide the services. Students, employees, educational institutions and many others were interviewed and provided statements to Social Services' investigators. Corrective actions, which according to department policy may include discipline up to and including termination, have been taken with employee/s based on the documented evidence.
"We applaud the courageous person that made this referral, and congratulate our investigators and fiscal managers that have worked hundreds of hours investigating this case," said Gary Sherman, Social Services Director. "We mean business when we say we are going to clean up programs and run a tighter ship. We will urge prosecution to the full extent of the law for those who abuse the system and misuse public resources taking them away from those who need them most. This agency is on course to reform its operations; those that are defrauding DSS may want to consider coming forward of their own accord." Any DSS contractor concerned about the adequacy of their present business practices may contact the Department's recently created Contract Compliance Unit via email at contractcompliance@dss.mo.gov.
Last week Sherman announced the launch of the new DSS Contract Compliance Unit that will be monitoring departmental contracts for accuracy in recordkeeping and billing.
Missouri Department of Social Services
221 West High Street • P.O. Box 1527 •
Jefferson City, MO 65102-1527