FBI is investigating 21CT Medicaid fraud deal; State Sen. Whitmire calls for HHSC chief to resign
The FBI is investigating the multimillion-dollar, no-bid deals brokered between Austin tech company 21CT and the Texas Health and Human Services Commission, according to two people close to the investigation and a state legislator.
“I’ve been told that the FBI is investigating,” state Rep. Garnet Coleman, D-Houston, told the American-Statesman.
Coleman cited a trusted source, but declined to reveal his source. Independently, the newspaper on Wednesday confirmed FBI involvement with two people close to the investigation who are not authorized to speak on the matter.
The scope of the federal inquiry is unclear. An FBI spokeswoman declined comment Tuesday, citing the bureau’s policy that it can “neither confirm or deny an investigation.”
Read more: http://www.statesman.com/news/news/state-regional-govt-politics/sources-fbi-is-investigating-110m-21ct-medicaid-fr/njnxd/?ref=cbTopWidget
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Veteran state Sen. John Whitmire has called for the resignation of Kyle Janek, the top official at the Texas Health and Human Services Commission, which is now at the center of state and federal investigations for its multimillion-dollar, no-bid deals with an Austin tech company.
In his letter delivered to Janek’s office moments ago, Whitmire said: “I ask you do what is in the best interest of the State of Texas and resign immediately.”
“Enough is enough,” Whitmire, a Democrat from Houston, told the American-Statesman. “I think he’s lost credibility to run this agency.”
Whitmire cited reported conflicts of interest within Janek’s office and a Statesman investigation that revealed an official in that office skirted procurement laws as he steered millions to 21CT, an Austin data analytics company hired to aid in Medicaid fraud investigations.
Read more: http://www.statesman.com/news/news/state-regional-govt-politics/sen-whitmire-calls-for-resignation-of-hhsc-commiss/njpX9/?ref=cbTopWidget
