2004 Cease and Desist Letter from Colorado Dental Board: Michael A. DeRose, Eddie DeRose, William (Bill) Mueller

I've heard the Michael DeRose out there in Pueblo under oath say he did not "train" dentists. They were simply there to "observe" for a few days.  Yet, here is the 2007 C & D letter from the Colorado dental board where he admits the dentists performed general dentistry and it was the program offered by his father, Eddie DeRose and William Mueller as well as himself.

Michael A Derose Cease and Desist Order Colorado Dental Board 2004 

No one has stopped the “Child Abuse for Medicaid Fraud” scheme; not yet anyway.

1997 – Drs. Michael and Eddie DeRose along with Dan “put coke machines in schools” DeRose started opening dental centers to abuse children so they could defraud Medicaid, then build a football stadium in their own honor.

2001 – Dr. Tu M. Tran and Dr. Thien Chi Pham were dentists working at Smile High Dentistry in Colorado. Smiles High Dentistry is part of the Small Smiles Dental chain.

2002 – Tran and Pham were convinced to move to Atlanta and open up Kool Smiles, starting with 2 centers.

2004 – Friedman, Fleishcher and Lowe bought the centers and established NCDR, LLC to be the dental management division of FFL.

2006 – First Islamic Bank (aka Arcaptia aka Crescent Capital) gave the DeRoses $435-million for the dental centers.

2007 – In Georgia two companies who over saw Georgia's Medicaid benefits kicked Kool Smiles out of their network of dental providers for it’s Medicaid patients. Kool Smiles said it was because Wellcare wanted to cut it’s own costs! Wellcare said it was because children being abused for profit and fraud. Georgia agreed with Wellcare, and found over 6% of all Kool Smiles patients files didn’t need the care they received and over 3% of the treatment was substandard.

2012 - We are still where we were in 2007 with Kool Smiles – children abused, substandard treatment, fraud.

With Small Smiles nothing much has moved either. Pretty close to the same as in 2003 when reports of its child abuse first surfaced – 11 very long years have passed and we are zooming toward year number 12.

Kool Smiles continued to grow to over 120 dental centers today Small Smiles topped out at 72 or 73. Hundreds of dentists, who likely worked for one of these mills, broke off and opened their own smaller versions of this business mode- Abuse and Defraud for Profit. Adventure Dental and Vision is just one example. Their “owner” also worked for a Small Smiles Dental Center.

Small Smiles alone, treats 1-million children a year.

There have been numerous news reports on Kool Smiles Dental Centers since it’s beginning. There have been at least 72 73 news reports on Small Smiles Dental Centers since 2003.

Each report, from coast to coast, contained the exact same allegations:

• Children being restrained and physically assaulted.
• Unnecessary overtreatment.
• Parents filing complaints and nothing being done.
• A State or Federal Agency is Investigating.

There have been a few letters mailed out scolding the business practices, a tiny weeny fine or two – (that has not been paid yet) and a couple of Corporate Integrity Agreements that the executives wiped their asses on. (well, it’s true!) An a few “official” reports. Personally I’m not sure what a “report” actually accomplishes.

Here is reporter, Sydney Freedberg's report for Bloomberg, published just last week!

Today is July 4, 2012 and hundreds of these little houses of horrors will open their doors tomorrow.

So far Small Smiles has seen:

• $24-million dollar fine they have not paid
• A 66 page Corporate Integrity Agreement they have not followed
• A few scolding letters with no bite
• A $230,00 fine – they have not paid. (the actual fines for all the violations amounted to millions, but they got a discount)
• One measly dental center in Manassas, Virginia they swear they do not own had to be transferred to a new owner
• The Oxon Hill dental center closed for two days of training! I’m NOT kidding!!
• Checks from the Medicaid fund still arriving in their bank accounts daily.

Hell, no wonder everyone wants in on the action.

CSHM Breach of Corporate Integrity Agreement March13 2012 <p>&nbsp;</p>

On March 7, 2012, just days after filing bankruptcy, their independent monitor did a check of the Oxon Hill Small Smiles and turned up all kinds of problems. On May 15, 2012 HHS once again sent out another letter, telling them to shut Oxon Hill down for a two day training session.

The letter stress HHS’s concern that just days prior to the March 7, 2012 monitor visits, that the Chief Compliance Officer – Lorri Steiner,- the Chief Dental Officer, Steven Adair or Gus Ghassen or both – the SVP of Operations, Kevin Reilly,- the Executive Director of Operations,Lisa Mullinix or Scott Nearing maybe- the Compliance Attorney, Sheila Sawyer, and the Regional Director, Dr. Marlene Navedo had been to Oxon Hill Small Smiles and couldn’t find a thing wrong. NOT ONE THING! How can that be???

Are they incompetent or criminals, it has to be one or the other. Are the same folks still running the show down there? Yes indeed…several of them are still there.

Something big happened that was quite serious, I don’t know what, by the Oral Surgeon at the Oxon Hill Small Smiles on February 20,2012. I don’t know if I want to know either.

CSHM Agreement with Office of Inspector General May 15 2012

Next Wednesday, July 11, 2012 is the dead line for CSHM to have reviewed and report past overtreatment at the Manassas clinic. As Bloomberg Businessweek reported, with 42% of all the root canals checked, (104 unnecessary root canals out of 244) deemed unnecessary I’m guessing that report will not look good for the dentists working there, or the company.

This company has been under the watchful eye of government regulators since 2007, when the investigation first began. Can you get your head around the fact they have not changed their ways in 5 years!!!! 

Arrests next week?

Engine trouble eyed in plane crash - The Pueblo Chieftain: Local News

 

Posted: Saturday, February 4, 2012 12:00 am

Engine trouble eyed in plane crash By NICK BONHAM | ​nickb@chieftain.com The Pueblo Chieftain | 0 comments

An engine problem appeared to have caused the Thursday night slide-off of a Learjet at Pueblo Memorial Airport, a preliminary report by the Federal Aviation Administration said.

The plane "lost power in right engine during take-off and ran off side of runway," the report said.

Due to weather conditions, investigators with the FAA and National Transportation Safety Board won't arrive in Pueblo until early next week, said Mark Lovin, airport director, on Friday.

No one was injured in the Thursday night crash. The private plane was occupied by the prominent DeRose family of Pueblo. The group was taking off in poor weather conditions to Las Vegas to watch the Super Bowl. Lovin, however, has said it doesn't appear the weather was a factor.

The report said the plane sustained "substantial damage" in the crash. The name of the pilot has not been released.

The DeRoses were on Learjet ID number N31WS, which was once owned by singer John Denver, according to flightaware.com

"John Denver took delivery of this Lear in 1975. He named it WindStar 1. He created WindStar Aviation. His father, Dutch, was the chief pilot," the website said.

Records show the Learjet is now owned by Extra Point LLC, in Delaware. The plane's most recent flight was from Centennial to Pueblo on Jan. 27.

The Learjet was removed from the side of the runway late Thursday night and is being stored at the airport for investigators.

The airport was closed following the incident but was reopened Friday morning.

Engine trouble eyed in plane crash - The Pueblo Chieftain: Local News

North Carolina Board of Dentistry Wants To Hear From You.... really?

The North Carolina State Board of Dental Examiners is holding a public hearing at it's office at 507 Airport Blvd, Ste 105, Morrisville, North Carolina.  The meeting will take place this Thursday, June 17, at 7 PM.  

Written comment from the public will be accepted through August 8, 2010 and can be sent to the board at the address above.  They don't seem to offer an email address.

The meeting  is to consider the following amendment to rule:
 

21 NCAC 16F.0103 CORPORATE OR LIMITED LIABILITY COMPANY NAME(the strikethrough is to be deleted and the underlined to be added to the rule)

Corporation or limited liability company designations shall consist only of the use of the words "Professional
Association," "P.A.", "Professional Corporation," or "P.C." for professional corporations and "Professional Limited Liability Company", or "P.L.L.C." for professional limited liability companies. All names shall also contain only the name or surname of one or more of the shareholders or members and may include the word "Associate(s)." the words “Associate(s)”, “D.D.S,.” “D.M.D.” and the geographic location of the company, provided that the company name may not be false, deceptive or misleading.
History Note: Authority G.S. 55B-5; 57C-2-01; 57C-2-30; 90-48;E
Eff. September 3, 1976;
Readopted Eff. September 26, 1977;
Amended Eff. August 1, 2010; August 1, 2009; August 1, 2002; April 1, 1994; May 1, 1989.

It can be seen here.

Seems to me the only people who would object to the, still very liberal verbiage, would be the crooks.  However I believe the language could be much tighter.  Adding some name of a North Carolina licensed dentist, the last name of a shareholder or member of the PLLC and a location clears nothing up.  Am I wrong?  For example, FORBA's Small Smiles clinics in Ohio alone are listed as follows: 

SMALL SMILES DENTAL CENTER OF COLUMBUS, LLC - JODI KUHN, DDS AND OLIVIA CROOM, DDS  with a Trade Name of Small Smiles Dental Centers of Columbus.  You pick the city then add the two names and file a DBA (doing business as) or a Trade Name, as it's called in some states and you still don't have a clue who your dentist is, who is going to treat you, or whose name will end up on the billing.

This is EXTREMELY misleading.  Why, well because Olivia Croom, DDS is listed on various dental plan sites as working in Farmington, MI, Mishawak, IN, and Dayton, OH.  In fact her name didn't even show up of state corporate filings until February, 2010, just four months ago.  Until then it was Jodi Kuhn and Patricia Nicklas, DDS and before that it was Kenneth Knott and Robert Andrus, and they NEVER treated one patient in OHIO.  

Here you can see when it was SSDC of C, LLC Kenneth Knott and Robert Andrus the phone book ad looked as though you would be making an appointment with either of the above dentists, but you would be dead wrong!   By the way, these clinics have changed their legal name 4 times in 6 years. 

 Let's look at the clinics in North Carolina that Michael DeRose and Tish Ballance owned and operated under the name Medicaid Dental Centers then changed it's name to Smile Starters.

Everyone thinks good ole Michael Anthony DeRose was ran out of North Carolina on a rail, well they too would be wrong.  He's alive and active in North Carolina.  As recently as September last year (2009) he changed the name of one of the companies.  (yes, I said one)  He changed Michael Anthony DeRose, DDS, PA to Michael Anthony DeRose, Inc.  (I suppose the DDS had to go after Colorado finally got off their asses and revoked his licenses).  

When Michael changed the name to Michael Anthony DeRose, INC he also amended the Articles of Incorporation to read to a Chapter 55B General Status and the nature of the Michael Anthony DeRose, Inc to: GENERAL BUSINESS MARKETING & CONSULTING.  (yes, his marketing ideas and advice is exactly what the dentists ordered!)

  

 HOWEVER, on October 6, 2009, the North Carolina Department of Revenue had other ideas for Michael Anthony DeRose, INC. and put the business was on suspension for violating N.C.G.S. 105-230 (a).  (he owes them money).  The suspension notices mentioned that once this was corrected they would remove the suspension.  It's hard to tell, but I believe everything was set straight with the Department of Revenue since it's status is Current-Active-Multiple.

 

But wait!  There's more!  Yes!  Ballance & DeRose, DDS, PA is Current-Active as well.  That's right, these two are still hooked up it appears.   Wanna take a guess where the current address is...  awe...c'mon...  YES!  2211 Executive Drive, Charlotte, NC  28201.  Not sure why, but one Incorporators name was left off the name of the company, his name- Robert D. Hinshaw, 185 Kimel Park Drive, Ste 200, Winston-Salem, NC  27103, he's an attorney.  But shouldn't he have been held as responsible for the actions of Ballance & DeRose, DDS, PA?   Just saying....

Ballance & DeRose, DDS, PA's Professional Service is -Dental Services.  So under the proposed change to North Carolina's rules, what would Mike, Tish and Robert do?

Well, the name contains the name or surname of one or more of the shareholders or members, it's a PA (professional association), so they are good there.  Since they are allowed to use "Associates" or "DDS" or DMD" in the name, that would be ok too, Tish Ballance is still licensed but they could always drop that and use Associates.  The only issue then is the location.   Well, all they have to do is add "of Charlotte" or "of Asheville" or "of Fayetteville" or "of Winston-Salem" or "of Greensboro" or "of Raleigh".  Then file the DBA as they do in Ohio and you still get Smile Starters and it clears nothing up and is still misleading.

If they are worried about something being 'misleading' they should look at the decor and advertising these places do that makes parents feel they are seeing pediatric dentists when they are in fact seeing someone who doesn't deserve to be called a dentist at all!

I know some are going to scream, oh no, Dr. Rafael Rivera, Jr. owns these clinics, and I say Bull!  He's just started his own PLLC (Professional Limited Liability Company) and contacts his services to these clinics...or something close to that.  

Root Dental Management is also alive, current and active in North Carolina, address is still the Executive St address in Charlotte.   Ryan P. Root filed his annual report in March 2010, wonder if Roger Walters is still on board there?  Ryan P. Root's address on the annual report is PO Box 816, PUEBLO, COLORADO.

So after looking at this, the only thing I see that improves the 'rule' is for the State of North Carolina Department of Revenue.  More filing fees for each location of each of the 'clinics', tax returns for each individual clinic as a separate business...

I don't see what the point is to add the geographic location of each clinic, if it doesn't matter whether the dentist who provide the services there are not necessarily on the ones on the state corporate filings, heck they may well not even live in the state!  

C'mon North Carolina Board of Dentistry, you can do better, children are being abused, medicaid is being defrauded and children are dying.

Where am I wrong here?

Where Was The Colorado Dental Board?

It took the Colorado Dental Board until June 2009 to finally order Michael A. DeRose ‘retire’ his license to practice dentistry and tell  him he is never to apply for a new license anytime in the future.

In the Order from the board it cites the two disciplinary actions taken against DeRose in North Carolina.  In December 2005 his license was suspended for 180 days for doing more than 6 pulpotomies in one visit on children at his Medicaid Dental Centers, now called Smile Starters in North Carolina.

I’m thinking 6 is still outrageous!  Think you could have 6 teeth worked on in one session?  How about being tied down, and given 6 root canals??!!  The level of lidocaine alone to keep a patient pain free seems to me would be at a dangerous level.  But they don’t worry about that, since they could care less if they even have a supply of lidocaine on hand it appears.

Then in April 2007 settled with the government for $10 million with Dr. Tish Ballance, and still every state where he was licensed let him keep his licenses.

Michael’s dad, Dr. Eddie let his licenses just expire.

William Mueller, one of the original cast of characters was forced to ‘surrender’ his licenses, but not until 2009!

Over the years these three had ‘actions’ taken against them on a few occasions in more than one state, but only the latest is currently on file at DORA, Colorado’s records search.

Some of the documents mention referring problems to the state Attorney General’s office for further review.  But I can’t find one time any of them were ever seriously considered for prosecution.

The laws in Colorado were changed at least twice to curtail these guys from abusing children for profit, but the Dental Board never revoked their licenses as they should have.  They allowed Dr. Michael DeRose continue with this abuse from 1982 until 2009!  That’s 27 years!!!!!!

Now look where we are.

Had the Colorado Dental Board done their job, there would be no Small Smiles, Kool Smiles or Adventure Dental out there tying up children and drilling out perfectly good teeth, causing horrific trauma to small children, devastating the trust children have in their parents and adults and scamming Medicaid (you tax dollars) out of 100’s of millions of dollars.

Somehow through all of this the uncle, Dr. Adolph Ralph Padula came away unscathed.  His license is as pure as the white driven snow.

Dr. William Mueller (UPIN# 64458) was finally locked out of the medicaid program March 18, 2010.

DeRose, FORBA, Smile High Federal Court Filings

Michael A. DeRose, DDS filed for "Asset Protection" in Federal Bankruptcy Court 4-5-1999

Case number 99-01191

Smile High Dentistry filed Chapter 7 Bankruptcy 7-2-01

Case number 01-19589

There are also various other civil cases in Colorado, New Mexico and one that I found in Texas involving a dispute with DD Marketing vs. Grapevine-Colleyville Schools that was dismissed.

Again, these are just a few I found in a couple of hours of searching, I'm sure there are more, as always with these people.... there is always MORE!