Daily News | As a New Jersey commission investigates addiction treatment abuse, a Mullica Hill rehab owner denies wrongdoing
A New Jersey addiction rehab owner rejected allegations by state investigators that he overbilled to pay for luxury cars, personal credit card charges and to expand his business of sober homes.that he was not intimately involved in the day-to-day running of his business, and that his company has operated aboveboard. He said that he had not over-billed insurance companies and that investigators had misinterpreted what he described as complex, but legitimate, billing practices.
Sober homes, where people undergoing addiction treatment often stay, cannot bill insurance companies. So, investigators said, the DeSimones funded their own sober homes in order to persuade residents there to choose Kingsway for treatment. Investigators had also flagged a number of transactions he made to personal accounts, each totaling exactly $9,000. That sum is just under federal bank transaction reporting requirements, and investigators called it a potential sign of money laundering or tax evasion.As for over-billing, he said, a third-party company was used to handle billing, and itinsurance bills that investigators deemed suspicious.
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