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A Stacy area resident will be sentenced at a later date in federal district court for her guilty plea to conspiracy to commit fraud.  Shantel Magadanz, 34, was charged after an investigation involving the Minnesota Attorney General and U.S. Attorney with indictments related to Evergreen Recovery (treatment program) announced against a total of three defendants in December 2024.  

Magadanz, Heather Heim and Shawn Grygo were charged with overbilling Medicaid (UCare and Department of Human Services) for a total loss of $5.6 million.  The case involved illegal kickbacks and fraudulent billing for services Evergreen did not provide.

The plea agreement calls for restitution from Magadanz in the neighborhood of $900,000 and the guidelines in the agreement call for sentencing of 21 to 27 months. 

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