US Justice Department Joins Texas Medicaid Fraud Lawsuit Against Planned Parenthood

The US Justice Department has joined a Texas lawsuit accusing Planned Parenthood of Medicaid fraud, according to a court filing made days after voters elected Democrat Nathan Johnson as the state's next attorney general.

The Lawsuit

The DOJ's move, filed late on Friday, gives the federal government a direct role in the 2021 case championed by outgoing Republican Texas Attorney General Ken Paxton, who lost his bid to become a US senator. Paxton and an anonymous plaintiff are seeking to force Planned Parenthood to return money it allegedly collected from Texas' and Louisiana's Medicaid programs after the states cut off its funding, plus heavy additional penalties.

The lawsuit accuses Planned Parenthood of violating the federal False Claims Act by continuing to bill and collect payments from the states' Medicaid programs after the initial termination decisions, and failing to repay what it received once the terminations eventually took effect.

Planned Parenthood's Position

Planned Parenthood has said it would be forced to shut down in Texas if it loses the case. The organization has said that billing the states while their termination decisions were paused by courts was legal, and that it cannot be held liable because it was giving legal advice to affiliates.

Case Status

The US 5th Circuit Court of Appeals ruled unanimously in August that Planned Parenthood's appeal of a 2023 decision denying the national group immunity from the lawsuit was premature, paving the way for the case to continue after a nearly three-year pause. The case is proceeding before US District Judge Matthew Kacsmaryk in Texas.

Why it matters

The Justice Department's intervention elevates a state-led and whistleblower-driven Medicaid fraud case into a federal prosecution, increasing the legal and financial pressure on Planned Parenthood.

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Sources

• malaysia.news.yahoo.com: Justice Department joins Texas lawsuit against Planned Parenthood - Yahoo News Malaysia
• thenews.com.pk: US justice department joins Texas lawsuit against Planned Parenthood over medicaid fraud
• von.gov.ng: Justice Department Joins Texas Lawsuit Against Planned Parenthood - Voice of Nigeria
• bolnews.com: DOJ joins Texas lawsuit against Planned Parenthood in $1.8 billion Medicaid fraud case

This article was drafted with AI assistance and checked against the sources above. Company claims are reported as claims. Cover image is AI-generated.