Woman convicted in Arizona sober living home fraud case ordered to repay nearly $4M
Nov 20, 2024, 12:00 PM
Ariell Dix was sentenced to 3½ years in prison and ordered to pay nearly $4 million in restitution in an Arizona fraud case involving fake sober living homes. (Arizona Department of Corrections, Rehabilitation and Reentry Photo)
(Arizona Department of Corrections, Rehabilitation and Reentry Photo)
PHOENIX – The first person convicted in an Arizona fraud case involving fake sober living homes was ordered to pay nearly $4 million in restitution, authorities announced Wednesday.
Ariell Olivia Dix, 37, was sentenced to 3½ years in prison in May after she pleaded guilty to one count of illegal control of an enterprise.
In addition to the prison time, Dix was ordered to repay $3,863,036.15 for her role in a Medicaid fraud scheme, according to the Arizona Attorney General’s Office.
“Medicaid fraud steals from taxpayers and harms those who rely on critical health care services,” Attorney General Kris Mayes said in a press release. “This case sends a clear message: If you exploit public programs and vulnerable communities for personal gain, you will be held accountable.”
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Arizona fraud case: Scheme targeted Native Americans
Hundreds of Native Americans have been targeted by Phoenix-area scammers in multiple cases involving fake clinics, often leaving the victims homeless.
In Dix’s case, she was one of 11 defendants accused of conspiring to defraud the Arizona Health Care Cost Containment System (AHCCCS) of millions of dollars.
The clinics were created to target the American Indian Health Program within AHCCCS, the state’s Medicaid system, according to prosecutors. The scam ran in Arizona from January 2019 to September 2021.
Dix was previously banned from Nevada’s Medicaid program for fraud in that state.
The Attorney General’s Office announced Dix’s financial penalty a day after it created a $6 million grant program to support tribal nations impacted by the sober living home fraud scandal.
Tribes can apply for grants of up to $500,000 to alleviate economic loss and support recovery for members who were victimized by the fraudulent activity.
