Oregon DOJ Successfully Places Private Care Agency on Probation in Medicaid Fraud Case

Oregon Attorney General Dan Rayfield today announced that Rever Grand, Inc. (Rever Grand), a Standard Model Agency - meaning a private agency that hires Direct Support Professionals to provide home and community support to individuals with intellectual and developmental disabilities - has accepted the State's plea offer and entered a no-contest plea to one count of Making a False Claim for Health Care Payment. Under the terms of the plea, Rever Grand will be placed on probation for four years.

"This resolution strikes the right balance between accountability and protecting the Oregonians who rely on these critical care services," said Attorney General Dan Rayfield. "Our goal is to make sure that every person receiving support can trust the system that serves them - and that companies providing care are doing right by the people in their communities."

Rever Grand, based in Grants Pass, employs Direct Support Professionals who provide community support to individuals with intellectual and developmental disabilities across Oregon. In October 2024, a Josephine County Grand Jury indicted Rever Grand, along with its founder, Ray Parenteau, and his wife, Jolene Sesso, who also served as a manager of the company. The State continues to prosecute Parenteau and Sesso who are alleged to have used Rever Grand to funnel ill-gotten Medicaid funds to themselves. They remain charged with Racketeering and numerous counts of Making a False Claim for Health Care Payment, Aggravated Theft, Money Laundering, and Tax Evasion.

As part of the jointly recommended sentence Monday, the Court dismissed a second count of Making a False Claim for Health Care Payment and will hold the judgment on the first count in abeyance. This allows Rever Grand an opportunity to comply with an independent monitoring agreement. The agency will be overseen by a third-party monitoring company, paid for by Rever Grand itself.

If the company successfully completes probation and meets all the terms of the independent monitoring agreement, the State will ask the Court to close the case without a finding of guilt, as allowed under Oregon law.

This resolution allows Rever Grand-now under new ownership as of January 2025-to continue providing vital services to more than a thousand Oregonians with intellectual and developmental disabilities while ensuring accountability and oversight moving forward.

"By requiring independent monitoring, we're ensuring that this company operates with integrity and that taxpayer dollars are spent the way they should be-supporting the people who need care, not those who abuse the system," said Attorney General Rayfield.

The Medicaid Fraud Control Unit is charged with investigating and prosecuting Medicaid billing fraud and healthcare provider abuse or neglect. Over the past decade, the unit has secured over 250 criminal convictions, 100 civil settlements, and recovered more than $90 million. MFU's total funding for the latest federal fiscal year (FFY 2024) was $4,602,858 of which 75% was awarded under a grant from the U.S. Department of Human Services.