Attorney General Phil Weiser secures $455,381 in sale proceeds from home illegally purchased by suspect wanted for Medicaid fraud
July 30, 2024 (DENVER) – Today, on the 59th anniversary of Medicaid, Attorney General Phil Weiser announced he has secured the proceeds from the sale of an Aurora home purchased by a woman wanted in an alleged Medicaid fraud scheme. The proceeds of the sale were returned to the state by Arapahoe County after an investigation found the suspect purchased the home with money she acquired through the alleged fraud.
Investigators with the Medicaid Fraud Control Unit within the Colorado Department of Law found that between 2019 and 2023, Muluemebet Tasew, 35, a former resident of Aurora and owner of AAA Personal Services, illegally obtained $693,338 in Medicaid funds. Investigators found evidence Tasew used those funds to purchase a home located at 25632 East Indore Drive in Aurora.
Last November, Weiser asked a Denver District Court to issue a lien against Tasew. After winning that judgment, the bank that owned the suspect’s mortgage auctioned the home, and the proceeds totaling $455,381 were returned to the state this month.
“Medicaid fraud is a crime that affects all taxpayers, and the biggest victims are usually people who earn low incomes who rely on Medicaid for their health care,” said Weiser. “This case is an example of our commitment to recovering money stolen from the Medicaid program. We will continue to seek out the suspect and any of her assets to ensure she is held accountable.”
Tasew still faces charges of Medicaid fraud and money laundering, and a warrant for her arrest remains active.
Criminal charges are a formal accusation that an individual committed a crime under Colorado law. All defendants are presumed innocent until proven guilty.
The Colorado 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 $3,795,665.23 for federal fiscal year 2024. The remaining 25 percent, totaling $1,265,221.74, is funded by the state of Colorado for the federal fiscal year.
Coloradans who suspect or have direct knowledge of Medicaid fraud, or any other type of fraud or scam, are encouraged to file a complaint with the attorney general at StopFraudColorado.gov.
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