Falls Man Charged With 18 Counts of Medical Assistance Fraud

Owner of Precious Transit allegedly falsified documents to obtain more than $10,000 in Medicaid payments.

Attorney General J.B. Van Hollen announced today that Frederick Rutledge, 43, of Menomonee Falls, has been charged with 18 counts of medical assistance fraud. 

Each Class H felony charge carries a penalty of up to 6 months imprisonment and $25,000 in fines.

These charges stem from Rutledge’s ownership of Precious Transit, a specialized medical vehicle transportation company, that was based in Menomonee Falls along Appleton Avenue.  Precious Transit conveys Medicaid patients to various medical appointments and is reimbursed by the Medicaid program.  Such transportation is required to be provided by trained and certified drivers. Qualified drivers receive specific training and their vehicles are inspected to ensure that proper safety equipment is installed.

Former employees have come forward with information that Rutledge falsified paperwork that documented services provided to Medicaid patients and to receive payments from the program.  These documents were falsified to show that trained and certified drivers were used when, in fact, they were not.

Rutledge was paid more than $10,100.00 by the Medicaid program as a result of submitting these false claim reports.

Former employees of Precious Transit said Rutledge would pay non-certified drivers cash, and told them to leave the driver’s name field blank on the forms they were required to fill out after making a drop-off. The name of a former qualified driver would be written into the field instead.

Investigators also found numerous documents with the driver’s name field covered with White Out and replaced with Rutledge’s name, or another qualified driver’s name. Investigators discovered that Rutledge’s name appeared as the driver for routes at the same time, but at different locations.

The criminal complaint was filed in Milwaukee County and Rutledge is scheduled to appear on June 14 for an initial appearance. 

Nate June 06, 2011 at 09:06 PM
This is an attribution to why health care is out of control especially Medicaid. Time and again we learn criminals are not smart. Or just too greedy. I wouldn't ship my elders with a company called Precious Transit either. Lame.
dike June 07, 2011 at 12:54 PM
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Tink June 27, 2011 at 05:07 AM
Well Mr.Nate i know the Rutledge Family for myself and I know that they are far from Greedy if anything they are very willing to give and very helpful in anytime of need when it comes to any and everybody...if anything they must watch whom they help because jealousy is what comes along with it.....but i know that this a test from God and it will pass the devil has in his head that hes going to win but MY GOD has something bigger and better planned hes just waiting on the right time to present it!God Bless Nate,Dont judge off what u read unless u meet someone and experience them for yourself!
Nate June 27, 2011 at 07:54 PM
So 18 counts of a federal crime is all good with you then? I don't think this is just a mixup of paperwork.


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