Arizona Medicaid Fraud Cases Trace More Than $102 Million in Billing to Native American Program

Federal prosecutors in Arizona announced two Medicaid fraud cases this week involving more than $102 million in combined billings to the Arizona Health Care Cost Containment System for services purportedly provided to patients covered through its American Indian Health Program.

The cases have reached different stages. A federal judge sentenced a San Tan Valley addiction-treatment clinic owner to 14 years in prison following her guilty plea, while a federal grand jury indicted a Peoria behavioral-health company operator on charges that remain allegations.

Rita Ntusa Anagho, 54, was sentenced Monday to 14 years in federal prison for her role in a scheme that billed AHCCCS more than $69 million between approximately May 2022 and March 2023. The agency paid approximately $54.9 million on the claims, according to the U.S. Attorney’s Office for the District of Arizona.

The court also ordered Anagho to pay nearly $55 million in restitution and forfeit almost $9.5 million seized from seven bank accounts and nearly $7 million in real estate.

Anagho owned and operated Tusa Integrated Clinic LLC, an addiction-treatment center that enrolled patients covered through the American Indian Health Program, or AIHP. According to court records summarized by federal prosecutors, Anagho and her co-conspirators submitted claims for addiction-treatment services that were either never provided or differed from the services billed.

Prosecutors said Anagho paid illegal kickbacks to sober-home owners who referred patients to her clinic, falsified treatment notes and records, laundered proceeds and instructed former employees to create fraudulent medical records after Tusa received a subpoena. She pleaded guilty in May 2025 to conspiracy to commit wire fraud and health care fraud.

The second case centers on Maurice Marcell Williams, 48, of Peoria. A federal grand jury returned an 11-count indictment on Sept. 8, charging Williams with health care fraud and money laundering. United States Attorney for the District of Arizona Timothy Courchaine described the case in a press conference on Sep. 15.

Today, USA Courchaine joined AAG Colin McDonald, @SDCAnews's USA Adam Gordon, and representatives from @HSI_HQ, @IRS_CI, and other law enforcement partners to discuss results from the ongoing fight against fraudsters who are targeting vulnerable populations.

These results… pic.twitter.com/DwceckoIKH

— US Attorney Arizona (@USAO_AZ) September 15, 2026

Williams owned and operated Thinking and Learning Together 2 LLC, which presented itself as a behavioral-treatment operator in Phoenix, according to the indictment. Prosecutors allege that Williams concealed his ownership of the company and a previous criminal conviction when applying to participate in AHCCCS.

The indictment further alleges that Williams submitted claims for services that were never provided. Between May 2022 and May 2023, the company billed AHCCCS more than $33 million and received approximately $19.7 million, according to the Justice Department’s Sept. 15 announcement.

Federal prosecutors are seeking forfeiture of two residential properties, a Rolls-Royce Cullinan and brokerage accounts owned by Williams. Health care fraud and money laundering each carry a maximum sentence of 10 years in prison for every count resulting in conviction. Williams is presumed innocent unless proven guilty beyond a reasonable doubt.

Arizona state Rep. John Gillette (R-LD30) shared a video excerpt from the press conference on X, writing, “Remember when Democrats said the Legislature was lying about AHCCCS fraud, is just as rare as voter fraud.. Yet here is another case.. the walls are closing in… Dems know it and are worried.”

Remember when Democrats said the Legislature was lying about AHCCCS fraud, is just as rare as voter fraud..

Yet here is another case.. the walls are closing in… Dems know it and are worried. https://t.co/HH04GfUNaL

— Rep. John Gillette AZ House LD30 (@AzRepGillette) September 17, 2026

Anagho’s scheme and Williams’ alleged scheme both centered on patients enrolled in AIHP during overlapping periods beginning in May 2022. AHCCCS describes AIHP as its fee-for-service program for American Indians. Registered providers participating in the fee-for-service system submit eligible claims directly to the agency.

The cases follow years of investigations into Arizona behavioral-health providers that recruited Native Americans for treatment and billed Medicaid for services that were missing, incomplete or falsely documented.

AHCCCS has described the wider sober-living scandal as an organized fraud operation that primarily targeted Native Americans struggling with addiction. The agency says its multiyear crackdown has targeted up to $2.5 billion in fraud through expanded provider screening, payment suspensions and partnerships with state and federal law enforcement.

A May 2025 investigation by the Arizona Center for Investigative Reporting and ProPublica reported that Arizona had recovered approximately $125 million, roughly 5 percent of the $2.5 billion the state estimated it had paid to fraudulent operators. The investigation also reported that more than 100 people had been indicted at that time.

The Arizona Center for Investigative Reporting and ProPublica separately found that at least 40 Indigenous residents of Phoenix-area sober homes and treatment facilities died between 2022 and 2024 while Arizona agencies struggled to respond to warnings about fraud and unsafe conditions. Those deaths occurred amid the broader crisis; the reporting did not connect all of them directly to fraudulent billing.

Oversight questions have also extended beyond the AIHP fee-for-service system. As the California Globe previously reported, Rep. Gillette (R-LD30) has been examining financial and operational oversight across AHCCCS, the Arizona Department of Child Safety and the Department of Economic Security’s Division of Developmental Disabilities.

According to Gillette, a DCS whistleblower told him that the department’s Comprehensive Health Plan had submitted 127 suspected fraud, waste and abuse referrals to the AHCCCS Office of Inspector General beginning in 2021. Three annual reports AHCCCS submitted to federal regulators listed zero program-integrity referrals from the DCS health plan during successive reporting periods, according to records reviewed by the Globe.

DCS told Gillette that its health plan must refer suspected fraud to AHCCCS and cannot independently investigate or recover payments without the agency’s approval. The department also said AHCCCS does not provide it with investigative results directly. Publicly available materials did not establish how many of the 127 referrals remained open, were substantiated, generated recoveries or resulted in criminal cases.

The 127-referral discrepancy concerns the DCS managed-care system, while the Williams and Anagho cases concern AIHP fee-for-service claims. Available records establish no connection between those referrals and either federal case.

Homeland Security Investigations and IRS Criminal Investigation handled the Williams investigation with substantial assistance from the AHCCCS Office of Inspector General. The FBI and the Department of Health and Human Services Office of Inspector General investigated the Anagho case, also with assistance from AHCCCS investigators.