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Orange County woman pockets $342K in Medicaid scam, investigators say

ORANGE COUNTY, Fla. — It could be strike three for an Orange County woman who authorities say has been caught repeatedly cheating Medicaid out of money.

Tammy Scarborough could now face prison time after being out on probation for years.

She is now being held in the Orange County Jail without bail.

Before her latest arrest, Scarborough was on extended probation until 2032.

"Certainly, the court is going to impose a harsher sentence than you might ordinarily see,” said WFTV legal analyst Bill Sheaffer. “She defied the court's order not to engage in this type of activity again, and lo and behold, she did."

According to the latest court documents, Scarborough is accused of using a false name and other deceptions in a "scheme to defraud" the state's Medicaid system.

And even though she's, “prohibited from working for any business receiving payments from the Florida Medicaid program as a condition of her probation,” she’s accused of siphoning as much as $342,000 away from low-income patients in need of medical care.

Investigators say Scarborough had people "employed as mental health therapists, (who did) not meet the qualifications to diagnose (psychological problems)."

Documents used to secure an arrest warrant against the woman say she lied to parents with young kids by using "depression as a diagnosis so they could provide services, but never sent (the children) for an official diagnosis."

According to investigators, Scarborough used her niece’s identity when interacting with state Medicaid offices and set up her latest business, Hands On Central Florida, in her 86-year-old father’s name. An arrest affidavit was unclear as to whether the senior Scarborough was aware of the alleged fraud.

Sheaffer said if the case goes to trial—and if she’s convicted—it’s likely Scarborough will end up in prison.

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