Sacred Circles of Healing and Wellness, a behavioral health provider in Tuba City, Ariz., was suspended from the Arizona Health Care Cost Containment System’s Medicaid program, effective June 17, 2026, according to agency documents reviewed by Becker’s.
The provider, which operates on Navajo Nation land, is also under FBI investigation, Fox affiliate KSAZ reported June 24. AHCCCS’ suspension letter lists more than 30 allegations, including billing for services that could not have been provided as claimed, billing for members who did not attend services or left early and performing urinalysis testing despite not being licensed to provide laboratory or medical services. The agency said it reimbursed the provider $294,000 over six months, according to KSAZ.
The agency also said Sacred Circles staff were instructed to use ChatGPT to generate clinical notes instead of documenting services themselves, according to the report. AHCCCS also accused the organization of paying $500 bonuses for each client referred to the provider and Denis Artiles, the CEO of previously suspended behavioral health provider Tempe, Ariz.-based Newfound Hope, of secretly operating Sacred Circles while Coleen Chatter served as CEO.
Sacred Circles can request a state fair hearing or an informal settlement conference if it disputes the suspension, according to the KSAZ.
The agency noted that such suspensions are based on preliminary findings and may be lifted if it determines no fraud occurred or good cause is established.
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