Medicaid Dental Center aka Smile Starters Pays $10 Million For Medicaid Fraud

by: Mark Boone

CHARLOTTE, N.C. -- The owners of a chain of dental clinics, with offices in Charlotte, will pay more than $10 million in response to a federal investigation into alleged Medicaid fraud, the U.S. Attorney’s office said Wednesday.

The owners of the company formerly known as Medicaid Dental Center did not admit to any wrongdoing as part of the settlement, said attorney James Wyatt.

As first reported in a WCNC investigation, some parents complained they took their children to the Medicaid Dental Centers on Freedom Drive and N. Tryon Street for what they believed to be routine visits.

The Charlotte offices are now operating under the name ‘Smile Starters.’

Wyatt said the clinics are under new management.

Christy Dillbeck, a west Charlotte mother, said she was asked to wait in the lobby of a Medicaid Dental Center as a dentist placed her then-four-year-old son on a papoose board, a device used to restrain children.

The dentist then drilled into 16 of her son’s baby teeth and installed steel caps, without her knowledge, she said.

“That’s a lot, a lot of work,” Dillbeck said. “And to imagine all of the children that had to go through what my son went through, it breaks my heart to even think of it.”

At least six other families contacted WCNC with similar allegations.

In a statement issued Wednesday morning, U.S. Attorney Gretchen Shappert said Medicaid Dental Center performed “baby root canals,” which were not medically necessary.

The procedures were performed between 2001 and 2003, Shappert said.

“The dentists subjected their child patients to invasive and sometimes painful procedures, often for the sake of obtaining money from the North Carolina Medicaid program,” said Jeffrey Bucholtz, an N.C. Assistant Attorney General.

Dentists Letitia Ballance and Michael DeRose are named in the government settlement as co-owners of the Medicaid Dental Center.

Wyatt, who has represented Ballance and DeRose in both federal and state inquiries, said they are no longer working as dentists in Charlotte and are in the process of selling their North Carolina dental practice.

Federal authorities said Medicaid Dental Center and its owners will reimburse the government at least $5 million for the allegedly false claims and another $5 million in fines.

A portion of the settlement amount will be distributed to the N.C. Education Fund.

None of the settlement money will go to the parents of the children who underwent the treatment, said attorney Darren Dawson, who represents five families which are considering a lawsuit against the company formerly known as Medicaid Dental Center.

Wyatt says the clinics are under "New Management".

This blogger wants to know exactly "who" or "what company" is doing all this new management?

An educated guess would say FORBA, but this blogger has not confirmed this at all. But it is clear that Dr. Michael DeRose sold (so he says) to FORBA, and it is clearly reported that Dr. William A. Mueller, Dr. DeRoses' cohort, is associated with FORBA Dental Management, more on this below.

This same type of practice by the DeRose's and Medicaid Dental Centers and the various other names that were used, was in play as far back as 2004 in Colorado. see here.

According to various reports the DeRose's sold their interest in the Colorado dental clinics to FORBA Dental Management in 2006. Either the DeRose's and Forba are in cahoots together or Dr. Micheal DeRose and his clan just moved to another state and opened the same type of Medicaid Scam dental clinics in North Carolina.

Dr. William A. Mueller, at least at one time was in with Dr. Michael DeRose and we know that Dr. William A. Mueller and FORBA are in bed together, see here.

It's clear there is a connection between all of these dental chains. As reported in this blog in a prior post, Dr. Michael DeRose owned and operated one clinic that went under the name, Smile High in Denver that was part of the entire dental clinic chained owned by Mueller and DeRose.

From documents at the Kansas Dental Board, Dr. Michael DeRose, DDS had been sanctioned in North Carolina in December 2005.

In Sept. 2006, the Kansas Dental Board took action to enforce the North Carolina Order and another hearing is set for December 2008 to see that all conditions of his probation are met. North Carolina ordered him to show and demonstrate the use of a papoose board prior to strapping any child in one.

We also know Dr. Mueller in prior years had been sanctioned by the Tennessee Dental Board, yet in the end we find him in bed with FORBA headquarted in Nashville, Tennessee.

Dr. William A. Mueller has also been sanctioned by Oklahoma's State Dental Board. See here.

This blogger also discovered that Dr. Tu Tran, is one of the founders of Kool Smiles as reported on Kool Smiles website. see here, was the lead dentist at.... are you ready..... Smile High Dental Clinic in Denver, co-owned by Dr. Michael DeRose and Dr. William A.Mueller.

By the way, Dr. William A. Mueller it is reported here that:

Dr. Mueller was charged with gross malpractice for over-using papoose boards on children in his clinic in Memphis Tennessee.


But the Tennessee Dental Board dropped those charges against him.


However, the board voted to reprimand Mueller for false and misleading advertising in his clinic there.

When googling Dr. William A. Meuller, DMD or DDS you will find several listed, but the two that stood out to me was "Chief Of Dentistry" at the Children's Hospital in Denver, and another address at St. Jude's Children's Hospital in Memphis. There is also a review of some children toothbrushes called Kindertools, where a one Dr. William A. Mueller, DDS reviewed the product and listed himself as being: Chief of Dentistry, University Of Colorado Health Science Center. see here.

There is a clear connection between all of these Dental Clinic's.


Dr. Michael DeRose, Dr. William A. Mueller, Dr. Tu Tran - Smile High Dental Clinic


Dr. Tu Tran goes to - Kool Smiles
Dr. William Mueller - FORBA - Small Smiles
Dr. Michael DeRose - Medicaid Dental Center

One would think that Drs. DeRose and Mueller would have learned their lesson about abusing children and the medicaid system since they actually were named in connection with the death of 4 year old Jonathan Barrera in Arizona at one of their co-owned dental clinics.

The Dental Clinics and Dr. Michael DeRose were being investigated as to their practices in treating children and all the vast amount of money they were raking in as far back and 2003. see here.

Here is what Medicaid Dental Center had to say in 2003.

All of this is right on the heals of FORBA Small Smiles questionable practices in Kansas.

Dr. Michael DeRose and Letitia Ballance also have clinics under the name of Carolina Dental Center.