PHX Reporter

Diana Marie Moore, 44, of Mesa, was sentenced this week by United States District Judge Susan M. Brnovich to 66 months in prison, followed by three years of supervised release. Moore was also ordered to pay restitution to the Arizona Health Care Cost Containment System (AHCCCS) in the amount of $21,730,674.04. Additionally, the court ordered the forfeiture of four single-family homes owned by Moore as well as 117 other items, including seven luxury vehicles, designer apparel, luxury jewelry, and artwork. All items were purchased using proceeds from her fraud scheme. Moore pleaded guilty to wire fraud and money laundering on July 10, 2023.

Moore admitted she owned two behavioral health counseling services: Harmony Family Services (HFS) and Harmony Family Services II (HFS II). She also submitted an application for a third service, Logan Family Health LLC (LFH). All three applied to be medical providers for AHCCCS; HFS applied in 2019, HFS II in 2020, and LFH in 2022. AHCCCS approved all applications. At the time of application for HFS and HFS II, Moore failed to disclose her ownership interest in the other entity or her prior felony conviction.

Moore further admitted she engaged in fraudulent billing practices targeting AHCCCS and exploiting a program that enables Native Americans to seek behavioral health treatment without first obtaining a pre-payment review. Starting in January 2020, Moore began obtaining AHCCCS identification numbers for enrollees by paying other providers to transport them to HFS or HFS II facilities for a single day and then obtaining their identification numbers once they arrived. Nearly all billed enrollees were members of the American Indian Health Plan.

After these enrollees left the facilities, Moore submitted bills falsely claiming that HFS and HFS II continued providing services for up to 90 days. She regularly claimed that services were provided eight or more hours each day for five days a week over several months despite knowing such services were not rendered. Additionally, she submitted claims for services purportedly provided to deceased or imprisoned individuals.

At sentencing, the court noted the particular harm done to Native American populations in Arizona due to this type of fraud.

“The American Indian Health Plan exists to help an underserved community surmount barriers to treatment,” said United States Attorney Gary Restaino. “Defendant misused this program... Thanks to the Internal Revenue Service for its financial acumen...and...the AHCCCS Inspector General’s Office for its valuable assistance.”

“The sentencing of Diana Moore should be a reminder there are serious consequences,” said Carissa Messick, IRS CI Special Agent in Charge of Phoenix Field Office.

The investigation was conducted by Internal Revenue Service Criminal Investigation with prosecution handled by Assistant U.S. Attorney Aron Ketchel from District of Arizona's Phoenix office.