LITTLE ROCK, AR,-Thousands of jobs in Arkansas are at risk after a non-profit health care group tells its employees it’s being forced to close.
Preferred Family Healthcare treats people who need mental health care and help curbing addiction, and many other things.
The company’s status in Arkansas has been in jeopardy for months and Tuesday, they made it official, sending employees a letter notifying them they’re being forced to close.
Earlier this year, a top executive at the company was charged in a two million dollar Medicaid fraud scam.
Other executives have been accused of defrauding the state’s Medicaid program as well as bribing state lawmakers and embezzling from the company.
Because of that history, DHS terminated its contract with Preferred family earlier this summer. the company has been looking to sell, but hasn’t been able to find a taker.
The company say they’ll end operations on October 12th.
Preferred Family has about 5,200 patients in Arkansas and DHS says they’re required to transition them to new providers.
At one point recently up to 4,000 people worked for Preferred Family across Arkansas.
Preferred Family is only closing down in Arkansas. Its operations in four other states will continue.
If you or someone you know work for preferred family and want to share your insight about Tuesday’s news we want to hear from you.
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