LOS ANGELES — The co-owner of a Southern California sober-living facility was sentenced to 11 years in prison after pleading guilty in connection to a $175 million fraudulent billing scheme.
The Los Angeles County District Attorney’s office says Kirsten Wallace, who ran Community Recovery, entered guilty pleas Wednesday to 46 felony counts including insurance fraud and grand theft.
Prosecutors say she and a co-defendant stole identities of drug- and alcohol-addicted people, bought health insurance policies without their knowledge and submitted millions of dollars’ worth of phony bills.
Community Recovery — now called Commonwealth Global — operates more than a dozen sober-living homes around Los Angeles.
Wallace’s co-owner, Christopher Bathum, faces the same charges. He’s due in court April 17. In a separate case, Bathum was convicted of sexually assaulting seven women who were patients at his treatment centers.