HELENA — The Montana Department of Justice’s Medicaid Fraud Control Unit (MFCU) recently uncovered nearly $2.4 million in fraudulent Medicaid claims, the largest scheme the unit has uncovered in its history, Attorney General Austin Knudsen announced today.

On Sept. 15, a judge ordered Kevin Patrick Maxwell, a licensed clinical social worker and the former owner of Providence Mental Health Services (PMH) in Bozeman, to pay the state $2,391,277.55 for defrauding Montana taxpayers. MFCU’s investigation found that from January 2022 to November 2024, interns and non-licensed PMH staff, who were not authorized to bill Medicaid, provided mental health sessions that PMH then billed Medicaid. Additionally, PMH was not a licensed mental health center during a portion of that period, which is a requirement for mental health professionals seeking their licensure to bill Medicaid. Maxwell closed PMH in June 2025 and later moved to Texas.

MFCU filed a civil complaint against him for violations of the Montana False Claims Act. MFCU Agent Gary Herbst investigated the case, and Assistant Attorney General Alexandra van Belle litigated.

MFCU is part of the Montana Department of Justice’s Division of Criminal Investigation, which is overseen by Attorney General Knudsen and is responsible for investigating and prosecuting healthcare providers who defraud the Montana Medicaid program or who abuse, neglect, or exploit patients in Medicaid-funded care facilities.

Montanans can report suspected cases of Medicaid fraud and patient abuse, neglect, or exploitation by calling the Medicaid Fraud hotline at 800-376-1115.

Stevens Amendment Compliance Statement

The Montana 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 $939,984 for the federal fiscal year (FY) 2026. The remaining 25 percent, totaling $313,325 for FY 2026, is funded by the State of Montana.