Attorney General Hanaway Secures Additional Guilty Plea in Medicaid Fraud Scheme For Services Billed While in Jail

JEFFERSON CITY, Mo. – Today, Attorney General Catherine Hanaway announced that the Medicaid Fraud Control Unit (MFCU) has secured a Medicaid fraud conviction against Melissa Bates, who orchestrated false personal care service claims while her daughter, Dajah Sanders, was incarcerated in the St. Louis County Justice Center. Bates used her own phone to clock Sanders in and out as if services were being provided, enabling Sanders to receive payments for care she could not have performed.

“Attempting to divert Medicaid dollars for personal gain, as seen in this mother‑daughter scheme, will always result in accountability,” said General Hanaway. “Every restitution order we secure strengthens the program and helps preserve critical services for Missouri’s most vulnerable residents.”

Sanders was incarcerated at the St. Louis County Justice Center from September 10–20, 2022. During this period, Bates submitted to Missouri Medicaid stating she was provided with personal care services on eight separate days, averaging about four hours each day. A total of seven false claims for services allegedly provided by Sanders to Bates were submitted while Sanders was in jail and could not provide services. The total loss to Missouri Medicaid for the fraudulent claims was $533.01. The State will hold each Defendant responsible for 50 percent of the restitution.

MFCU investigator’s analysis of bank account deposits and withdrawals indicates Bates and her daughter were check-splitting, a situation in which the Medicaid recipient and PCA collaborate to submit false claims then divide or split the fraudulently obtained Medicaid funds.

Bates was sentenced to one count of Healthcare Fraud in violation of 191.905.1 (Class D felony) and restitution of $266.50, double damages of $533.01, and a civil penalty of $2,500.00 for a total of $3,299.51. She also received a Suspended Imposition of Sentence and five years unsupervised probation. Sanders was previously sentenced to the same restitution and penalties as Bates on November 24, 2025, after she pled guilty to one count of Healthcare Fraud.

The case was referred by the Department of Health and Senior Services, Office of Special Investigations, and the investigation was conducted by MFCU Investigator Stefan Boeckman.

“Protecting our Medicaid program means ensuring that funds go to individuals who genuinely need care, not to those who attempt to exploit the system,” said Medicaid Fraud Control Unit Chief Counsel Arvids V. Petersons. “We will continue working every day to bring accountability and safeguard the integrity of the Medicaid system.”

About Missouri Attorney General’s Medicaid Fraud Control Unit:
Medicaid Fraud Control Unit’s mission is twofold: first, to investigate and prosecute fraud committed by Medicaid providers who unlawfully divert taxpayer dollars, and second, to hold accountable those who commit abuse, neglect, or financial exploitation in Medicaid-funded facilities. The office is proud to be home to some of the state’s most skilled prosecutors and investigators. Attorneys interested in joining this tradition of excellence and public service are encouraged to explore current opportunities at https://ago.mo.gov/about-us/job-opportunities/.

The Missouri Medicaid Fraud Control Unit receives 75 percent of its funding from the U.S. Department of Health and Human Services under a grant award totaling $3,551,892.00 for Federal fiscal year (FY) 2026. The remaining 25 percent, totaling $1,183,960.00 for FY 2026, is funded by Missouri.

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