Investigation leads to more charges and more co-defendants in MediCenter Fraud case

Anchorage, Alaska (KINY) – An Anchorage grand jury added felony counts and two additional corporate defendants in a criminal case involving “the MediCenter” – a trade name for a number of medical clinics that operated on the Kenai peninsula between 2014 and 2019.

In October an Anchorage grand jury returned 23 true bills each for fraudulent billing to the Alaska Medicaid program and to Aetna and Premera Insurance Companies against:

  • Dr. Ray Lynn Carlson
  • his corporation R. Lynn Carlson, M.D., P.C.
  • Scott L. Carlson
  • Joseph Hurley
  • Charise Carlson. 

Today’s proceedings resulted in new felony Coercion counts against the listed defendants.

The grand jury also approved felony counts against two closely-held corporations associated with the business, Alaska Medical Group Management, LLC and Kai Health Law, LLC (aka) Keen Management, LLC for Scheme to Defraud (a class B felony) and for counts of Medical Assistance Fraud (both class B felonies).

MediCenter’s operations were conducted under the umbrella entity R. Lynn Carlson, M.D., P.C. 

Scott Carlson and Joseph Hurley formed Alaska Medical Group Management, LLC (AMGM) in 2013, each with 50 percent ownership.  Carlson and Hurley performed duties as the MediCenter COO and CEO (respectively); but invoiced for their work through their LLC (AMGM).  Kai Health Law, LLC is the successor entity to Keen Management, LLC.  Keen Management, LLC was formed in 2013 by Charise Carlson who maintained a 100 percent stake in the company.  In 2020 Ms. Carlson changed the name of the entity to Kai Health Law, LLC and retains 100 percent ownership.  Kai Health Law/Keen Management LLC also billed R. Lynn Carlson M.D., P.C. for “business consulting and legal services.”

In Alaska, a corporate entity convicted of a felony faces fines of up to $2,500,000 or three times the pecuniary gain realized or sought for the commission of each felony offense.

These charges are only allegations, and all defendants are considered innocent until proven guilty. 

The Alaska MFCU is part of the Alaska Department of Law and is located in Anchorage. It is responsible for investigating and prosecuting Medicaid fraud, abuse, neglect, and financial exploitation of patients in any facility that accepts Medicaid funds. 

Anyone with information about suspected medical assistance fraud, patient abuse or neglect are encouraged to use the Alaska MFCU online complaint form at or to contact the unit at (907) 269-6279.