Thursday, November 11, 2010

Outrage at FSSA; Former ACS Consultant Appointed To Lead Agency

Gary Welsh over at Advance Indiana notes the outrageous appointment of Michael Gargano, a former consultant of ACS, to head FSSA. ACS was a former partner with IBM in the bungled Medicaid privatization effort. IBM is currently the subject of a multi-million dollar lawsuit filed by FSSA. As I noted previously and Welsh also notes, the law firm Barnes & Thornburg, received a $5.25 contract to represent FSSA in the lawsuit even though B&T represents ACS and worked on the Medicaid privatization deal on behalf of ACS and other contractors.

In the legal representation contract I linked to on my previous blog post, B&T notes the obvious conflict (which is not waivable under the disciplinary rules) and says in the contract the law firm may have to sue ACS and the other subcontractors they currently represent.. B&T claims it will erect security measures within the firm to ensure that no information gained from the representation of ACS and other subcontractors on the Medicaid privatization matter will be used against those companies. B&T's attempt to explain how it will avoid this nonwaivable conflict of interest is laughable. Of course, B&T is not going to go aggressively go after ACS and risk losing a huge client of the law firm.

According to a later AP story, the Attorney General's Office said that the hiring of B&T was a specific request of the Governor's Office. Betsy Burdick, the Governor's Deputy Chief of Staff, is brother to Brian Burdick, one of the Barnes & Thornburg attorneys who will be working on the deal at $400 plus an hour.

Hmmm, a former ACS consultant now heads FSSA and FSSA is represented in the Medicaid privatization lawsuit by ACS's law firm. Any chance ACS's role in the bungled Medicaid privatization effort will be exposed? Not likely would be my guess. ACS seems to have its bases covered.


Diana Vice said...

This is why most people have more respect for used car salesmen than they do most lawyers.

pacerfan said...

ACS, Milliman, HMA....they're all the same.