State faces class action lawsuit in connection with sober living home scandal

PHOENIX (AZFamily) — A class action lawsuit has been filed against Arizona in connection with what’s become known as the sober living home scandal.

This involved 7,000 Native Americans enrolled in the American Indian Health Program.

They were promised help with their addictions to drugs and alcohol, often picked up on or near reservations and driven to the Valley. But they say that help never materialized.

According to advocates, 2,000 Native Americans either died or went missing in connection with the scam.

As Arizona’s Family reported, the scam also cost taxpayers $2.8 billion.

The suit alleges the Arizona Healthcare Cost Containment Program and the Arizona Department of Health Services, who oversaw the program and wrote the checks, are responsible and should be held accountable.

According to the lawsuit, the majority of the $2.8 billion in fraud was federal money, COVID-19 matching funds.

They allege the state knew about it as early as 2019 but didn’t go public until May of 2023.

As Arizona’s Family reported, earlier this year, the law firm behind this suit, BrewerWood, filed four separate lawsuits against Arizona regarding this.

Since then, they say so many others have reached out they decided to refile as a class action lawsuit.

AHCCCS and ADHS released a joint statement.

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