Addiction Recovery Care Gets New CEO Days After $16M DOJ Settlement

Addiction Recovery Care Appoints New CEO Following Settlement and Transition

Behavioral Health Business in Transition

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By Ashleigh Hollowell | August 10, 2026

Andrew Neel via unsplash.com

Inside the C-Suite

Addiction Recovery Care Appoints New CEO Following Settlement and Transition

Louisa, Kentucky-based Addiction Recovery Care has officially named a new CEO following the abrupt departure of Tim Robinson Jr., the company’s founder, who was indicted on felony charges for wire fraud and money laundering in June. Randy Hunter is now the company’s acting CEO, taking over operations from interim CEO Cassandra Webb as of August 6. Webb has transitioned back into her regular role as Addiction Recovery Care’s chief operating officer.

Hunter joins the company from Frontier Behavioral Health, another Kentucky-based addiction treatment provider that he founded in 2019 and helped scale as its CEO. He also has a background as an investigator for the Kentucky Attorney General’s Medicaid Fraud Unit.

“As we navigate this transition, our commitment to the people of Kentucky is unchanged,” Hunter stated in a press release. “We are dedicated to providing evidence-based treatment services that are clinically appropriate, medically necessary, and tailored to the unique needs of each person who entrusts us with their care.”

Hunter takes the reins after what has been a tumultuous year for Addiction Recovery Care. In January, the company had a major planned acquisition by Ethema Health Corporation (OTCQB: GRST), a provider of behavioral health and SUD services, completely fall through. Then, in February, Angelica Capital Trust, a lender to Addiction Recovery Care, filed a lawsuit against the provider, accusing it of failing to make loan payments. It had previously banked on the deal closing with Ethema to help pay off some of its outstanding financial obligations.

The company also just reached a settlement with the Department of Justice in July for nearly $16.3 million related to Medicaid fraud, which the FBI has been investigating since 2024.

“In April 2023, current and former employees of ARC filed a qui tam complaint alleging that ARC defrauded the Kentucky Medicaid program by submitting fraudulent claims for payment for behavioral health services provided in their drug rehabilitation programs,” the DOJ press release states. “During the Government’s investigation, ARC self-disclosed to the Government that it should not have billed for some of its services, including services identified by the whistleblowers in the qui tam complaint.”

The settlement officially ended Addiction Recovery Care’s ongoing legal battles regarding its past billing practices as a company. However, the criminal case against the company’s former founder remains pending.