Ethical Misconduct Widespread In New Jersey’s Addiction Recovery Industry

New Jersey’s addiction treatment and recovery industry is riddled with ethical misconduct, fraud, deceptive marketing, and corruption, according to a report by the State Commission of Investigation (SCI). The unethical activities manipulate consumers seeking treatment, and in some instances have interfered with consumer recovery. The SCI found fraudulent billing, tax evasion, kickbacks, and collusion between owners of sober homes and addiction treatment centers.

In particular, the SCI’s analysis found that “patient brokering” schemes have evolved in new ways not adequately addressed by the state’s laws prohibiting that activity. “Patient brokering” refers to payments made by an addiction . . .