Sanders Terminated Following Shocking Texas Testimony
In a stunning development for the healthcare giant, Centene Corporation has terminated Mark Sanders, CEO of its Texas subsidiary Superior HealthPlan, following his admission to state lawmakers that the company hired private investigators to gather information on Medicaid members, legislators, and journalists. This revelation came during Sanders’ testimony before the Texas House Committee on Delivery of Government Efficiency on March 26, where he faced intense questioning over potential fraud and misuse of taxpayer funds related to Medicaid contracts.
Private Investigation Activities Exposed
During the legislative hearing, Sanders acknowledged that Superior HealthPlan had employed private investigators between 2017 and 2019 under his direction. The investigation targets reportedly included at least three Texas lawmakers, with an outside firm even attempting to obtain one legislator’s divorce records. Sanders attempted to downplay these activities, characterizing them as “routine” background checks that didn’t go beyond publicly available information.
Connection to Medicaid Service Complaints
This scandal emerges against a backdrop of troubling allegations regarding Superior HealthPlan’s service delivery. During the same period when these investigations were conducted, the company faced multiple lawsuits over allegations of delayed and denied medical treatments for Medicaid beneficiaries. These legal challenges stemmed from a series of investigative reports published by The Dallas Morning News.
Surveillance Extended to Journalists and Beneficiaries
The scope of the surveillance activities was broad and concerning. According to reports, Superior HealthPlan commissioned background checks not only on lawmakers but also on Medicaid beneficiaries and healthcare providers who were featured in news articles critical of the company. Even more troubling, the journalist who authored these investigative pieces was also subjected to surveillance.
Lawmakers Express Grave Concerns
During the hearing, Texas legislators voiced serious concerns that Superior HealthPlan may have been using these investigation tactics to gain leverage in securing state contracts and to discredit Medicaid members who were pursuing unpaid claims. The revelation has sent shockwaves through the Texas healthcare oversight community.
Legal Consequences Begin to Unfold
The fallout was swift and decisive. On March 27, Texas Attorney General Ken Paxton announced the opening of a formal investigation into Superior HealthPlan’s use of private investigators. In his statement, Paxton described the allegations as “deeply troubling,” particularly those suggesting potential blackmail of lawmakers to secure contracts and surveillance of citizens to avoid paying legitimate claims.
Centene’s Response and Damage Control
In its official response, Centene has distanced itself from Sanders’ actions, stating that “the conduct highlighted during the course of the Texas House Committee hearing is not reflective of our values nor is it a practice Centene’s current leadership condones.” The company further claimed it had taken steps years ago to halt these practices but acknowledged that the hearing “made clear we failed to address its full impact.”
Centene has expressed commitment to rebuilding trust and transparency with government partners while maintaining focus on their stated mission of improving health outcomes in Texas communities. As this story continues to develop, Becker’s has reached out to Centene for additional comment.
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