Accused NM mental health providers file lawsuit

Posted at: 07/06/2013 10:56 AM
By: Mike Anderson, KOB Eyewitness News 4

 SANTA FE, N.M. (AP) - A group of New Mexico behavioral health providers have filed a federal lawsuit seeking to force the state to continue paying the providers and to stop publicizing allegations of wrongdoing from an audit.

The Santa Fe New Mexican reports  that eight of the 15 companies accused of fraud and abuse in a recent audit filed the lawsuit Friday.

They said in court documents that the suspension of payment and the bad publicity stemming from the Human Services Department's announcement have caused the providers irreparable harm.

A state audit last month said 15 New Mexico providers of mental health and substance abuse services failed to meet standards, overbilled the federal and state governments by tens of millions of dollars, and may have taken part in fraudulent activities.

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