CAPS benefits paid to corporation could not be recovered from individuals absent showing of fraud.

Topic: Early Care & Learning, Decided by: Judge Kennedy 
Docket Number: 1509315 , Decision Date: May 18, 2016 
Attachment: Click here to download the decision. 

The Department of Early Care and Learning (DECAL) sought to recover Child and Parent Services (CAPS) Program benefits paid to a corporation doing business as a daycare center.  DECAL alleged that the parents of the owner of the corporation, who had previously operated a different corporation that was terminated from the CAPS Program, were the de facto owners and operators of the daycare center.  DECAL sought to recover the overpayment from the owner and her parents individually.  Although DECAL was authorized to recover benefits paid to the corporation in error, it could not recover from the owner and her parents individually, as it did not prove that they engaged in fraud.

Scroll to Top