Aiken nursing home management director guilty of fraud

  • Posted: Wednesday, July 17, 2013 3:24 p.m.
    UPDATED: Wednesday, July 17, 2013 3:34 p.m.

Richard C. Cooke of Lake View, S.C., has pled guilty in Richland County General Sessions Court to six indictments arising from his fraudulent activity in the operation of six nursing homes, including Azalea Woods in Aiken.

Cooke, 53, pled guilty to two indictments charging him with forgery, a felony, and four indictments charging him with medical assistance provider fraud, a misdemeanor, according to S.C. Attorney General Alan Wilson.

The charges arose from fraudulent cost reports Cooke submitted to the South Carolina Medicaid program. Cooke, a resident of Dillon County, was a key figure in Cooke Management Company, Inc. of Lake View, which operated the six nursing homes. They are located in Aiken, Bishopville, Fork, Florence, Kingstree and Fountain Inn.

Under South Carolina Medicaid regulations, nursing homes are required to submit annual operational cost reports for their facility. The Medicaid program pays the nursing home based on that and on the number of Medicaid residents. From 2009 through 2011, the six nursing homes were overpaid a total of $1,020,818.34 as a result of the fraudulent items listed on cost reports submitted to the Medicaid program, according to the Attorney General's office.

Under the terms of a plea agreement, Cooke was required to plead guilty to the charges, to make restitution of $1,020,818.38 to the South Carolina Medicaid program, to be excluded from the Medicaid program for life, and to cooperate with the ongoing investigation by the Attorney General's office.

Cooke was sentenced by the Honorable L. Casey Manning, circuit judge, to 10 years on the two forgery indictments to run concurrently, suspended to five years probation. Probation conditions include house arrest for one year and 500 hours of community service, plus full restitution. On the four Medicaid fraud counts, Cooke was sentenced to three years on each to run concurrently, all suspended. He presented two checks totaling $500,000 toward his restitution.

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