Asha Farhan Hassan, 28, has been charged with wire fraud in connection with a $14 million scheme involving the Early Intensive Developmental and Behavioral Intervention (EIDBI) autism program in Minnesota. She is also accused of participating in the Feeding Our Future fraud scheme, which resulted in her receiving $465,000.
“Today’s charges mark the first in the ongoing investigation into fraud in the EIDBI Autism Program,” said Acting U.S. Attorney Joseph H. Thompson. “To be clear, this is not an isolated scheme. From Feeding Our Future to Housing Stabilization Services and now Autism Services, these massive fraud schemes form a web that has stolen billions of dollars in taxpayer money. Each case we bring exposes another strand of this network. The challenge is immense, but our work continues.”
According to court documents, Hassan formed Smart Therapy LLC in November 2019 and enrolled it as a provider agency for the EIDBI program, which is designed to offer medically necessary services to people under 21 diagnosed with autism spectrum disorder (ASD). The Minnesota Department of Human Services states that the program aims “to provide medically necessary, early and intensive intervention for people with ASD and related conditions.”
The investigation alleges that Smart Therapy employed unqualified individuals as behavioral technicians and recruited children from the Somali community by offering monthly cash kickbacks to parents ranging from $300 to $1,500 per child. These payments depended on the level of services authorized by DHS for each child.
Hassan and her partners allegedly submitted millions of dollars’ worth of fraudulent Medicaid claims on behalf of Smart Therapy for services not provided or inflated beyond what was actually delivered. Claims included falsified signatures or approvals from medical providers who did not work at Smart Therapy or were otherwise unavailable.
Prosecutors say most children were transported daily by drivers who also billed DHS for transportation services; some drivers were reportedly on Smart Therapy’s payroll as well. The fraudulent activities led to over $14 million being obtained from Minnesota DHS and UCare, with proceeds shared among Hassan and her associates and some funds sent abroad for real estate purchases.
In addition to defrauding the EIDBI program, Hassan used Smart Therapy to participate in a separate scheme targeting federal nutrition programs under Feeding Our Future’s sponsorship. Beginning July 2020, she claimed that Smart Therapy served breakfast and lunch daily to hundreds of children—submitting false meal counts and invoices—and received approximately $465,000 from these claims.
Special Agent in Charge Alvin M. Winston Sr., FBI Minneapolis stated: “Abusing publicly funded health care programs for personal profit is an act of duplicity, greed, and a betrayal of the most vulnerable in our community. The alleged fraud by Hassan resulted in the theft of millions of dollars intended to serve and support children in need. The FBI and our partners will not stop pursuing those who unscrupulously exploit government programs. We will secure justice for the taxpayers of Minnesota.”
The investigation was conducted by multiple agencies including the Federal Bureau of Investigation, Health and Human Services – Office of Inspector General, Internal Revenue Service – Criminal Investigation Division, and United States Postal Inspection Service.
Acting U.S. Attorney Joseph H. Thompson along with Assistant U.S. Attorneys Rebecca E. Kline, Harry M. Jacobs, and Daniel W. Bobier are prosecuting this case.
It should be noted that an information is merely an allegation; Hassan is presumed innocent until proven guilty beyond a reasonable doubt.
