Palmetto State News

South Carolina Attorney General Alan Wilson announced the arrest of Billy Joe Callahan, 56, and Matthew James Callahan, 33, both residents of Myrtle Beach. The arrests were made by the office’s Medicaid Fraud Control Unit (SCMFCU).

Billy Callahan faces charges of Exploitation of a Vulnerable Adult, Criminal Conspiracy, and Financial Transaction Card Fraud with a value exceeding $500 within six months. Matthew Callahan is charged with Exploitation of a Vulnerable Adult, Criminal Conspiracy, and Forgery with a value less than $10,000. Both individuals were detained at the J. Reuben Long Detention Center on May 23, 2024.

An SCMFCU investigation revealed that between February 5, 2020, and December 24, 2020, the Callahans allegedly conspired to misuse the funds and assets of a vulnerable adult. Billy Callahan is accused of using the victim's debit card without authorization to obtain money, goods, or services. Matthew Callahan is alleged to have cashed forged checks from the victim’s bank account. During this period, the victim resided at NHC Healthcare and Veterans Victory House assisted living facilities.

The case was referred to SCMFCU by the South Carolina Department of Mental Health and will be prosecuted by the Attorney General’s Office.

Exploitation of a Vulnerable Adult carries a penalty of up to five years in prison or a fine up to $5,000 upon conviction. Criminal Conspiracy also carries a penalty of up to five years in prison or a fine not exceeding $5,000. Financial Transactions Card Fraud involving more than $500 in six months can result in up to five years in prison and fines ranging from $3,000 to $5,000. Forgery with a value under $10,000 can lead to up to five years in prison or fines at the court's discretion.

The SCMFCU operates under federal regulations with authority over Medicaid provider fraud; abuse and neglect of Medicaid beneficiaries; and exploitation of individuals in assisted living facilities or nursing homes.

Attorney General Wilson emphasized that all defendants are presumed innocent until proven guilty in court.

For fiscal year 2024, SCMFCU receives 75 percent of its funding from the U.S. Department of Health and Human Services under a grant totaling $2,698,638. The remaining 25 percent comes from South Carolina funds amounting to $899,546.