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Southwest Louisiana ,

Grand jury empaneled to review Medicaid contract

Last Modified: Thursday, May 23, 2013 5:49 PM

BATON ROUGE (AP) — The Louisiana attorney general's office says a special grand jury has been selected to look into possible criminal activity involving the award of a $200 million Medicaid contract by Gov. Bobby Jindal's administration.

Assistant Attorney General Butch Wilson told a judge that the grand jury was being empaneled Thursday as part of an ongoing investigation into the award of the now-canceled contract for Client Network Services Inc., or CNSI.

The issue arose during a hearing on CNSI's public records lawsuit, tied to the contract termination.

The Jindal administration canceled CNSI's contract in March after news surfaced about a federal investigation. Jindal health secretary Bruce Greenstein, a former CNSI vice president, resigned a week later.

CNSI has sued the Jindal administration, alleging breach of contract and saying it did nothing wrong.

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