State shuts down Deaconess Home Health, employees without pay

MILWAUKEE (WITI) -- Employees with Deaconess Home Health are furious after they say they were not paid, and when they showed up on payday, Tuesday, April 30th to demand answers, the doors were locked and they were handed a statement.

FOX6 News has learned Deaconess Home Health told employees its Medicaid payments were suspended and that's why the company didn't cut the last round of paychecks. However, the company didn't explain why the state stopped making payments and didn't give employees or patients any advance notice.

A statement received by FOX6 News to Deaconess from the Wisconsin Department of Health Services says Medicaid and BadgerCare Plus payments from the state to Deaconess have been suspended "pending the investigation of a credible allegation of fraud."

READ IT: Letter from WI DHS to Deaconess