Texas AG investigating insurance company accused of spying on lawmakers, journalists, other Texans
Texas Attorney General Ken Paxton announced Thursday that he has launched an investigation into one of the state's Medicaid insurance providers after allegations that the company illegally spied on Texans.
The state is investigating Superior HealthPlan, an insurance company that provides Medicaid coverage to adults and children and coverage for the Children's Health Insurance Program in Texas, for allegedly using private investigators to perform surveillance and gather potentially confidential information on lawmakers, journalists and other Texans.
'The allegations concerning Superior's actions, such as actions that were characterized as potentially blackmailing lawmakers to secure state contracts and surveilling private citizens to avoid paying legitimate claims, are deeply troubling,' Paxton said in a statement.
Superior HealthPlan CEO Mark Sanders was questioned Wednesday by members of the Texas House Committee on the Delivery of Government Efficiency about his company's use of private investigators. The topic surfaced as lawmakers questioned company representatives about potential fraud and waste of taxpayer funds connected to its Medicaid contracts, and Sanders told the committee members that the company used private investigators in the past, but hasn't done so for the past few years.
On Thursday, Superior fired Sanders, the Dallas Morning News reported.
At Wednesday's hearing, Sanders defended his company's actions at the hearing by saying that the information gathered was nothing beyond what was publicly available.
'It was just understanding (what interests people), so we could have been knowledgeable of when we're meeting with different individuals. That's really it,' Sanders replied.
Lawmakers expressed concern that the actions aimed to secure leverage to help the company win future state contracts, discredit legitimate insurance claims by individuals, and track journalists reporting on allegations against Superior HealthPlan.
'I disagree. You wanted leverage, and you felt that you were going to use it. Just disgusting,' said state Rep. Tony Tinderholt, R-Arlington.
State Rep. David Cook, R-Mansfield, asked Sanders that if there was no intent to gain leverage over people, why did private investigators working for Superior HealthPlan look into legislators' divorce records?
'I don't recall at the time,' Sanders told lawmakers.
House Bill 5061, filed by state Rep. Jeff Leach earlier this month, addresses some of the lawmaker's concerns by prohibiting any contractor that works with the state from engaging in surveillance.
'We're up here talking to a company who has received millions, billions of dollars in taxpayer funds through Medicaid contracts, who has used that money to hire private investigators to follow around patients and legislators that are (now) asking questions about what the heck is going on,' said state Rep. Ellen Troxclair, R-Lakeway. 'It's ridiculous.'
Tiffany Young, spokesperson for Texas Health and Human Services, referred questions on how the investigation could affect Texans' Medicaid coverage to Paxton's office. The attorney general's office didn't immediately respond to a request for comment Thursday afternoon.
___
Hashtags
Try Our AI Features
Explore what Daily8 AI can do for you:
Comments
No comments yet...
Related Articles
Yahoo
36 minutes ago
- Yahoo
Undocumented students ask judge to let them challenge sudden loss of in-state tuition
A group of undocumented students on Wednesday asked a judge to let them intervene in a case that revoked their access to in-state tuition, the first step in their ultimate goal of overturning the ruling. The filing comes a week after the U.S. Department of Justice sued Texas over its 24-year-old law that allowed undocumented Texans who had lived in the state for three years and graduated from a Texas high school to qualify for lower tuition rates at public universities. Texas quickly agreed with the Trump administration's claim that the law was unconstitutional and asked a judge to find the law unenforceable. The quick turnaround — the whole lawsuit was resolved in less than six hours — represents a 'contrived legal challenge designed to prevent sufficient notice and robust consideration,' lawyers for these students argued in their motion. They're asking U.S. District Judge Reed O'Connor to allow them to join the lawsuit and argue for why the statute should remain in effect. The Justice Department and the Texas attorney general's office oppose the motion on the grounds that the matter has been resolved and the case is terminated, court documents say. O'Connor, the George W. Bush appointee who blocked the law, has long been a favored judge for the Texas attorney general's office and conservative litigants. The Justice Department filed its lawsuit in the Wichita Falls division of the Northern District of Texas, where O'Connor hears all cases. The people who are most impacted by a lawsuit typically have a right to have their voices heard on a case, said David Coale, a Dallas appellate attorney. Getting O'Connor to agree to reopen might be a tough sell, he said, but if they're denied, they could appeal that ruling and the rest of the case alongside it, to the 5th U.S. Circuit Court of Appeals. 'The 5th Circuit's obviously a very conservative court, but part of that conservatism is a pretty limited view of the judicial role,' Coale said. 'So if they get a chance to argue their case there … they may have some luck.' The law, which has been in effect since 2001, grants in-state tuition to anyone who has been living in the state for three years and graduated from a Texas high school. All students who claim this benefit must sign an affidavit saying they intend to become U.S. citizens as soon as they are able; many of them are here as part of the Deferred Action for Childhood Arrivals program. The motion lays out the human impact of the law's sudden reversal — a man who is reconsidering his plans to go to medical school in Texas; a woman who will have to drop out of her masters program, where she was studying to become a counselor; a teacher-in-training who will have to delay her plans to graduate and begin working. They are represented by the Mexican American Legal Defense and Educational Fund, which said in a press release that the abrupt overturning of the law has left students scrambling. 'What happened last week – the invalidation of longstanding state law in the course of one afternoon – was an abuse of our judicial system,' said MALDEF President Thomas A. Saenz. 'Those affected by the attempted invalidation have the right to be heard on the legality of the Texas Dream Act.' Big news: 20 more speakers join the TribFest lineup! New additions include Margaret Spellings, former U.S. secretary of education and CEO of the Bipartisan Policy Center; Michael Curry, former presiding bishop and primate of The Episcopal Church; Beto O'Rourke, former U.S. Representative, D-El Paso; Joe Lonsdale, entrepreneur, founder and managing partner at 8VC; and Katie Phang, journalist and trial lawyer. Get tickets. TribFest 2025 is presented by JPMorganChase.
Yahoo
36 minutes ago
- Yahoo
State Treasurer announces partnership between Hoosier Care and INvestABLE
FARMERSBURG, Ind. (WTWO/WAWV)— Indiana's State Treasurer Daniel Elliot announced a new incentive for residents who are covered by Anthem Blue Cross and Blue Shield's Hoosier Care Connect program. Those Hoosiers covered by the program who also have an INvestABLE Indiana account will have their Indiana Value Added Benefit raised to $75, effective immediately. This covers any Hoosier Care Connect members who have made their INvestABLE account within the last year. 'I'm excited to see Anthem stepping up to support Hoosiers with disabilities through INvestABLE Indiana,' said Treasurer Daniel Elliott. 'This partnership is about real people getting real tools to build a better future. ABLE accounts give folks the chance to save, plan, and live more independently—and that's something worth celebrating.' INvestABLE Indiana is a way for Hoosiers with disabilities to save and invest money without losing benefits like SSI and Medicaid. The organization offers eight savings and investment options, as well as a checking account option with a debit card. You can save up to $19,000 yearly in an account with a maximum balance of $450,000. Hoosiers with SSI can save up to $100,000 a year. Money can be withdrawn from the account for qualified expenses, or you can choose to grow it with tax-free earnings. 'At Anthem, we believe every individual deserves the opportunity to build greater independence and financial security,' said Lynn Scott, Anthem Blue Cross and Blue Shield of Indiana's Medicaid President. 'By increasing this incentive, we're reinforcing our commitment to Hoosier Care Connect members and supporting them in taking meaningful steps toward long-term stability and empowerment.' To learn more about INvestABLE or open an account, you can click this link. Copyright 2025 Nexstar Media, Inc. All rights reserved. This material may not be published, broadcast, rewritten, or redistributed.
Yahoo
an hour ago
- Yahoo
'Stand up for immigrants': Iowans gather in solidarity with LA protests, rally against ICE
More than 100 people gathered in downtown Des Moines to show support for immigrants' rights as protesters more than 1,600 miles away in Los Angeles continue to rally against U.S. Immigration and Customs Enforcement's efforts to deport people without legal status. As protests in California entered their fifth day on Tuesday, June 10, demonstrations have sprung up in major cities around the country in at least a dozen cities that included San Francisco, New York, Washington, Boston, Dallas, Chicago and Atlanta. The Iowa chapter of the Party for Socialism and Liberation held a small protest at Cowles Commons to show solidarity for immigrants and rally against President Donald Trump's deployment of the National Guard and U.S. Marines to quell protesters. "We're here to stand up for members of our community. For immigrants. For migrants. For refugees. For people with disabilities. For people on Medicaid. For seniors. For all the working class, because we are all under attack right now," said Jake Grobe, a community organizer who led the protest. "And Trump is trying to scapegoat immigrants and make them the enemy, calling them criminals." Immigration raids in Los Angeles on the afternoon of June 6 sparked a small protest. The next day, larger protests began in the town of Paramount, south of Los Angeles, linked to rumors of a possible immigration raid. Toward the evening on June 7, Trump ordered 2,000 National Guard members to the area. That night, protesters threw rocks, bottles, and fireworks at officers. Local police declared a small part of downtown Los Angeles an unlawful assembly area, and large numbers of protesters were cleared from the site. More: Curfew enacted for parts of downtown LA; Newsom seeks to limit Marine deployment: Updates Mayor Karen Bass issued a curfew for parts of downtown Los Angeles on June 10 following intense days of protests. Demonstrators allege the Trump administration's immigration enforcement has violated civil and human rights. The sweeping immigration efforts, a hallmark of Trump's second term, has also caught up people legally residing in the country and led to legal challenges. Protesters nationwide are expected to hold 'No Kings' rallies June 14, which coincide with Trump's 79th birthday and come one week after the president mobilized the National Guard in Los Angeles. Rallies, including in Des Moines, Ames and Iowa City, will precede a large-scale military parade in Washington, D.C., celebrating the 250th anniversary of the U.S. Army. Back in Des Moines, Paulina Ocegueda drove with a friend from Ottumwa to the capital city to lend their support. For Ocegueda, the fight was personal. She said it took years for her parents, who originally came from Mexico, to become U.S. citizens. She said she is proud to be Mexican-American but that it is tough to "represent the American side right now." "I want to make sure that all of the immigrants, not just Mexicans but people from Colombia, people from Haiti, people from Burmese communities, be represented here today," she said. Des Moines resident Wendy Espinoza felt similarly. Espinoza, who attended the event with her two sisters, said they came to represent their parents, who came to the U.S. from Mexico for a better future. They wanted to "stick up for them" and for the many others "who don't have a voice," the 23-year-old said. The group chanted "Power to the people. No one is illegal," and "No justice, no peace. We want ICE off our streets." Des Moines police were present but the rally stayed peaceful. In the far back of the crowd, Julius De La Cruz, 24, stood next to his pregnant wife and listened to the speakers. De La Cruz of Des Moines said he is frustrated. "You got families that work their a-- off, and all they do is just work their a-- off for their family, for a better life, a future here, and then you get them taken away like that in the blink of an eye," he said, referring to masked ICE agents who have been seen on video arresting migrants outside of court hearings and at businesses. He hopes better for his child. "I don't want my kid to grow up and see all the hate," he said. "I grew up around people who just showed nothing but love and positivity, who never judge people, never judge a book by its cover. I don't want my kid to grow up around nothing but hate." USA Today and the Iowa City Press-Citizen contributed to this report. F. Amanda Tugade covers social justice issues for the Des Moines Register. Email her at ftugade@ or follow her on X @writefelissa. This article originally appeared on Des Moines Register: Anti-ICE rally comes to Des Moines in solidarity with LA protests
