An acupuncturist was charged Thursday with cheating Medicaid out of nearly $1.7 million through various deceptive billing practices while running acupuncture clinics throughout the Twin Cities.
Xiaoyan Hu, 60, of Eden Prairie was charged in Hennepin County District Court with defrauding the medical assistance program for more than four years until mid-2020 while operating clinics in Minneapolis, St. Paul, Edina, Burnsville and briefly in Elk River.
Investigators allege in the 17-count felony criminal complaint that her Chinese Acupuncture and Herb Center (CAH) submitted nearly 42,000 fraudulent claims for clinic services and received $1,688,461.31 in Medicaid payments.
The complaint also charges Hu with collecting more than $62,000 from Medicaid for fraudulent interpreter services.
"Minnesotans who receive [Medicaid] have a right to expect that they'll receive all the care, dignity, and respect they're entitled to," said a statement by state Attorney General Keith Ellison, whose office investigated Hu and her clinics for two years.
"Minnesotans trying to afford their lives have a right to expect that every one of their tax dollars will be spent properly and legally," Ellison added. "People who commit Medicaid fraud violate both of those rights."
Hu was charged by summons. Messages were left for Hu at the two CAH clinics that remain, in Edina and Burnsville, seeking her response to the allegations. Her first appearance in court has yet to be scheduled. Her attorney, William Mauzy, also was not immediately available to respond.
State Medical Board of Practice records show that Hu's license is active. She's been licensed to practice acupuncture in Minnesota since 1998.